Sixth Report - Funding for Levelling Up

The government states it is reflecting on lessons learned from past Levelling Up Fund rounds regarding feedback and will apply these lessons to future feedback approaches, but does not commit to specific guidance changes or public feedback.

The government acknowledges the administrative burden of competitive bidding and confirms that a simplification plan will balance their approach, committing DLUHC to work with local authorities for fair and transparent distribution. They also highlight existing measures like capacity grants and support for joint bids, affirming that local priorities are tested in funding assessments.

The government acknowledges the work councils put into previous Investment Zone applications, stating this effort was not wasted but informed policy development for the refocused program. They explain the decision to limit the number of zones and eligible areas, noting other levelling up opportunities are available for non-Mayoral Combined Authorities and that the list of areas will be kept under review.

The government acknowledges the policy shift for Investment Zones was due to a new administration and states that, in the refocused policy, the department tried to minimise wasted effort for local authorities.

The government reiterates that its UKSPF funding methodology was published in 2022 and claims engagement with devolved administrations took place. It states it will seek to improve engagement and collaboration on any future funding, but maintains current funding is sufficient.

The government acknowledges the concern regarding previous short-term initiatives, asserting that Levelling Up is a long-term programme with 2030 missions and legislative backing to continue beyond. It also notes efforts through a simplification plan to streamline funding and reduce administrative burdens.