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

To ask the Secretary of State for Housing, Communities and Local Government, whether her Department plans to take into account low wages in rural areas when determining funding settlements for deprived areas.

Building on the measures in the 2025-26 Local Government Finance Settlement, the Government is committed to introducing an improved and updated approach to funding local authorities from 2026-27.

We sought views on our principles and objectives for funding reform through a consultation which ran from 18 December 2024 - 12 February 2025. This consultation and engagement will inform the development of our detailed proposals, on which we will further consult following the multi-year Spending Review concluding later this year. We are keen to develop these reforms in partnership with the sector and to understand views from across local government on factors affecting the demand and need for services, including in rural areas like Cornwall.