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'Grave concerns' as funding for neighbourhood plans to be withdrawn

By James Smith 12th Aug 2025

Town councillors have "grave concerns" that funding is to be withdrawn from local councils to help them create new neighbourhood plans.

Kenilworth Town Council (KTC) is set to write to the government calling for the funding to be reinstated, arguing it is vital to ensure "democratic, locally-informed planning decisions" are supported.

Kenilworth's neighbourhood plan - which supports the district-wide local plan - was adopted in 2018 and was designed to help guide major planning and infrastructure decisions across the town centre.

Speaking at the most recent KTC meeting, Cllr Kate Dickson explained the importance of the government funding when the plan was being created.

"Without the help of certain members of staff who were really, heavily involved, and also the consultants who helped us at a cost to the council, we would not have been able to produce the neighbourhood plan," she explained.

"I honestly feel if we had not been able to recoup the cost of the consultants who helped with the work, we would not have been able to produce it. 

"The government's proposal is that this government funding be withdrawn from local councils wanting to produce their local plan, I have grave concerns."

Other councillors echoed her sentiments, saying the value of the local plan comes from expert advice.

Cllr Mark Stevens said: "In the past it has made a huge difference. 

"With the way the world is changing so fast in a lot of ways, it would be good to have that plan looking ahead and actually having some support, that would include financial support of course. 

And Cllr Neal Eaton added: "The neighbourhood plan is full of issues and takes great expertise, external expertise to put some of the ideas into the document that will actually carry weight. 

"And that is what it is all about, creating a document that carries weight in planning terms."

KTC will also write to the town's MP Sir Jeremy Wright as well as the Secretary of State for Housing, Communities, and Local Government to request continued support.

Why is funding being withdrawn?

The government recently announced the funding for local councils across the country would stop in March 2026.

It has said the neighbourhood plans still "play an important role" in local planning, but said town and parish councils should fund them themselves.

Speaking in the House of Commons earlier this year, Alex Norris, Parliamentary Under-Secretary of State for Housing, Communities and Local Government, said: "As part of the spending review we've looked at all the services and programmes the government supports to identify those that should now be in a position to support themselves without ongoing funding.

"After more than a decade of taxpayer support, we believe that support for neighbourhood planning groups should be possible without further government funding. 

"Parish and town councils have access to their own resources which they can choose to use for neighbourhood planning if they wish. 

"With the end to the national structure for support, planning consultants should be able to innovate and offer groups lower cost support more targeted at their particular ambitions and needs."

     

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