Question to the Ministry of Housing, Communities and Local Government:

To ask the Secretary of State for Housing, Communities and Local Government, with reference to the written statement of 9 February 2026 on Local Government Finance Settlement 2026-27 to 2028-29, what the profile is of the additional £740 million in grant funding over each year of the settlement; whether the funding has come from (a) unallocated budgets for the Spending Review period, (b) a reduction in other funding programmes and (c) additional Exchequer funding; and whether there will be Barnett consequentials.

The final 2026-27 to 2028-29 Local Government Finance Settlement confirmed £740 million in new grant funding additional to the provisional Settlement, taking the total new grant funding delivered through the multi-year Settlement to over £4 billion. Local authority funding allocations across the three years can be found here: Core Spending Power table: final local government finance settlement 2026-27 to 2028-29 - GOV.UK.

The £740 million of additional funding is comprised of unallocated budgets for the Spending Review period and additional Exchequer funding. The Barnett formula applies to all increases or decreases to UK Government Departmental Expenditure Limits (DEL).