Local Government Reorganisation and heritage organisations: a challenge or an opportunity?

“The English Devolution and Community Empowerment Bill represents a once-in-a-generation opportunity to reshape local government and unlock heritage’s potential as a driver of growth, regeneration, and community pride.” The Heritage Alliance

Introduction

England is on the cusp of the most significant local governance reform in decades. The Government’s English Devolution and Community Empowerment Bill and accompanying White Paper set out a vision for streamlined local government structures and greater regional autonomy. For heritage organisations, which are custodians of historic buildings, landscapes, and cultural treasures, these changes present both risks and opportunities.

What will happen?

The reforms aim to simplify and empower local governance through two major initiatives.

Local Government Reorganisation (LGR)

The Government is expecting local authorities operating within traditional two-tier structures (county and district councils) to reorganise into single-tier, unitary authorities, responsible for all local services.

Devolution to Strategic Authorities

The Government’s intention is to create in law a new concept of the Strategic Authority, which will bring together more than one local authority, over a large geographical area, led by elected mayors.

Where are we in the process?

Councils have been consulted on their proposals, and in March 2026, a structure order will be made. A transition period will follow with Shadow Authorities acting until the new Authorities are up and running, have set their constitution, officers and objectives. Stock asset transfers will take place in order to move assets over to the responsible authority.

What are the challenges for heritage organisations?

Heritage assets, that is: historic buildings, landscapes, museums and so on, are often intertwined with local governance. These reforms will reshape the environment in which heritage organisations operate.

Planning and development: new Strategic Authorities will gain powers over planning matters, influencing decisions on planning policy, including, for example, conservation areas. Transitional arrangements may create grey areas in planning and heritage protection, potentially disrupting projects.

Funding: many heritage organisations rely on local authorities for financial support, at least in part. Consolidation of councils may affect local authority budgets, which may then have a knock-on effect on the funding of heritage and regeneration projects. As responsibilities shift and budgets are reallocated, it is possible that non-statutory services like heritage conservation may be deprioritised.

Skills/people: the consolidation of local councils into larger authorities will require heritage organisations to navigate new relationships with larger unitary councils and combined authorities, which may centralise functions. This risks the availability of specialist local heritage knowledge previously available at district council level.

What are the opportunities?

Asset transfers and community ownership: financial pressures on councils may lead to disposal of heritage assets. Reorganisation may accelerate community asset transfers, enabling heritage groups to take control of buildings and land. This could unlock future funding and encourage local stewardship of assets. Where such assets are held on charitable trusts, compliance with charity law is essential for Councils acting as charity trustees. Heritage organisations partnering with councils should support councils to ensure these duties are understood and upheld.

Driving forward the heritage agenda: there have been numerous studies about the benefits of heritage to local communities, which include fostering a sense of community and contributing to educational opportunities, economic benefits from tourism and local regeneration, along with contributing to biodiversity and mental wellbeing. Devolution offers a chance to really embed heritage in regional growth strategies, positioning historic assets as drivers of regeneration, tourism, and community identity and lifting up the profile of the sector generally.

What can heritage organisations be doing now to get ready for local government reorganisation?

Audit your assets: we recommend heritage organisations which have links with the local authority (in particular, unincorporated charities where the local authority acts as a trustee) review their ownership structures and any charitable trusts governing land or property. Now is the perfect time to ensure governance structures are robust and make any changes. For example, it might be preferable in some cases to vest assets in the Official Custodian for Charities to avoid confusion with ownership of assets, ahead of the stock asset transfers happening. Be alive to the potential for authorities to be considering disposing of assets which could be relevant to your organisation.

Engage early and build relationships: participate in the process and engage with emerging unitary councils and combined authorities to build relationships which will benefit your organisation’s strategic goals.

Review strategy and governance: this is an ideal time for heritage organisations to reformulate their strategy goals and position themselves at the forefront of changing local landscapes, as enablers of economic growth, sustainability, and community wellbeing.

How can I find out more information?

Birketts is at the forefront of the rapidly evolving landscape of devolution and local government reorganisation. With deep-rooted sector expertise, our multi-disciplinary team of public sector and heritage asset specialists is ideally placed to provide the strategic support that our clients need to deliver change in the current climate. Our public sector team has a dedicated page for Devolution and Local Government Reorganisation HERE. If you manage heritage assets and want to prepare for local government reorganisation, do get in touch.