Appraising the options

When drawing up this interim plan, we have carried out an appraisal of different options to meet the Government criteria, unlock devolution and streamline council structures. It is in line with the Government's aim to replace areas served by district and borough councils and county councils with new unitary authorities delivering all services.

Factors we have considered include:

• How best to unlock devolution and deliver for our region, our places and our neighbourhoods by securing decision-making powers and additional funding
• Getting the right balance between size and maintaining strong local connections with communities, with councils that reflect the way people live their lives and work
• How best to deliver savings and ensure sustainable organisations
• How to ensure social care remains safe and legal, which also better facilitates integration and prevention
• How best to retain local democratic accountability
• How best to ensure a strong focus on neighbourhoods, and community partnerships
• How best to preserve local heritage and civic identities

We have considered four possible options for new council structures. They were:

• A single county unitary for Leicestershire
• Two unitary councils for north and south Leicestershire with Rutland in the south
• Two unitary councils for north and south Leicestershire with Rutland in the north
• Two unitary councils for east and west Leicestershire, with Rutland in the east

In each option considered, Leicester City would remain a standalone unitary authority, maintaining its existing boundaries.

Extensive data analysis was undertaken to assess the strengths and weaknesses of each option. In addition, engagement with residents, businesses, and stakeholders was carried out to better understand their priorities and concerns around local government reorganisation; and provide an indication of the level of support for a possible three council approach.

The first option, a single county-wide unitary for Leicestershire and Rutland (CHECKING) (with a second unitary authority covering Leicester City), was ruled out for several reasons:

• It would be too big and too remote to respond effectively to local communities
• It would create a significant population imbalance when considered alongside Leicester City (775,000 in Leicestershire versus 373,000 in Leicester)
• The Councils feel it would be inward looking and less likely to work at a community level, on a cross-border basis with its neighbours
• It would cover too similar an area to any future Strategic Authority that may be created, which could leave people confused about the difference between the two organisations

It was therefore concluded that two unitary authorities across Leicestershire, with a third covering Leicester City (options 2-4), would be best as the three councils would be of more similar size, and would each cover an appropriate number of residents for effective service delivery (with sufficient scope to grow over time).

The north/south arrangement for Leicestershire with Rutland in the south (option 2) was considered less sustainable in terms of population balance, commuting, housing, and service pressures.

The east/west arrangement for Leicestershire (option 4) also presented challenges, including an unbalanced population spread, a less sustainable pattern of where people live and work, and a less even distribution of existing debt across the three proposed authorities.

The north/south configuration with Rutland in the north (option 3) was found to offer the best balance in terms of population sizes. It was also found to best reflect the way people live and work in the area, align better with housing and service demands, and support existing strong links between towns in the north and south, and their relationship with the wider economy.
This plan is being referred to as the North, City, South proposal, reflecting the areas these new unitary authorities would serve (you will find more details later in this document).

As part of the initial engagement, we met with a number of strategic and local stakeholders. We also gathered feedback from the public through an online form which received over 4,600 responses.

That online survey found:

• Extensive support for the three-council proposal
• Significant opposition to a single unitary authority
• Enthusiasm to get the future boundaries with Leicester to a level that suited both the City and its wider geography
• The crucial importance of local representation and identity
• Challenges to really achieve cost savings and efficiency

This was an initial piece of engagement work carried out earlier in 2025. You can read the summary of the engagement work via the link below.