Cambridgeshire and Peterborough council restructure plans halted by government

Angela Rayner will announce the review in Parliament.

Author: Chris TatePublished 7th Sep 2026
Last updated 7th Sep 2026

Peterborough City Council’s leader has spoken after plans to restructure councils across the country were put on hold by the government.

Cambridgeshire and Peterborough was among the regions which could have seen smaller councils merge to create larger unitary authorities under Labour’s Local Government Reorganisation (LGR).

Now, the plans which were dubbed the biggest political shake-up in decades are up in the air, with secretary of state for housing, communities and local government Angela Rayner set to make an announcement in Parliament.

Proposals to merge councils in Essex, Hampshire, Norfolk and Suffolk have reportedly been withdrawn, while plans for 14 other areas will be reviewed and paused.

A decision had not yet been made on Cambridgeshire and Peterborough, but this will now be delayed once again and considered alongside the wider review.

According to reports, Mrs Rayner is expected to tell Parliament that in light of new legal advice, she wanted to satisfy herself that “the right process is in place, that it is robust, and of course complies with the law”.

“And secondly, I want to fully test whether our proposals for local government reorganisation meet the priorities of a new administration and a new prime minister and any additional considerations."

“I do not take this lightly. I recognise the huge amount of work that has already gone into progressing reorganisation in each of these areas, and I am very grateful for it.”

Council leaders across Cambridgeshire and Peterborough had submitted four options to the government for LGR, which would have seen the seven current councils merged into either two or three larger unitary models.

A decision was expected to be made by government in the summer before it was pushed back to the autumn, but now it will be reviewed even further, casting doubt over whether the restructures will be implemented at all.

Local elections in May 2027 will reportedly go ahead on existing council boundaries.

Councillor Shabina Qayyum, leader of Peterborough City Council, said: “This government is now more determined than ever to devolve power closer to the people we represent."

“We did want to learn of the decision for Peterborough and Cambridgeshire as quickly as possible, but the review is understandable given the scale and complexity of what the government is trying to achieve."

“The Secretary of State has to ensure that the process is robust and aligns with the new government’s plans to rewire the state."

“Local Government Reorganisation will see a new system of councils across much of the country which is a huge undertaking."

“Therefore it is only right that decisions are properly considered and not rushed, so that the best outcome possible can be achieved for everyone, most importantly our residents."

“As a unitary authority which looks after Adult Social Care and Children’s Services, this gives me reassurance that our decision will not be without the robust decision making it deserves."

“We will continue to do what we can locally to plan for Local Government Reorganisation and await further instruction and information from the Secretary of State.”

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