Local Government Reorganisation update
23 January 2026 | Kirsty Hunt
Today’s announcement confirming the move to five unitary councils across Hampshire, Portsmouth, Southampton, and Isle of Wight (retained), marks a significant moment for the region and reflects both the scale and the complexity of the reforms underway nationally.
We recognise the enormous effort that councils have already invested in developing proposals, engaging with communities and working at pace to meet ambitious timescales. The decision highlights just how challenging it is to balance financial sustainability, local identity, community needs, growth ambitions and the long term future of vital public services across such diverse areas.
What this means for the area:
Isle of Wight Council
Retained
North Hampshire Council
Current local government areas of Basingstoke and Deane, Hart and Rushmoor
Mid Hampshire Council
Current local government areas of East Hampshire, New Forest, Test Valley and Winchester, less 11 parishes from all 4 areas
South East Hampshire Council
Current local government areas from East Hampshire, Fareham, Gosport, Havant, Portsmouth, 3 parishes from East Hampshire and 1 parish from Winchester
South West Hampshire Council
Current local government areas of Eastleigh, 4 parishes from New Forest, Southampton and 3 parishes from Test Valley
The next phase:
including the Structural Changes Order, transitional arrangements and preparations for 2027 elections will demand continued collaboration, clarity of purpose and steady leadership. The confirmation of transition funding will be welcome, but we know the practical work ahead is substantial.
Our thoughts are also very much with colleagues across Sussex and Brighton & Hove as you face a further period of uncertainty while awaiting the Minister’s decision. We appreciate how challenging and frustrating this delay will feel, particularly given the significant work, engagement and collaboration already undertaken. The latest correspondence reinforces the complexity of these decisions: balancing geography, identity, financial sustainability, community needs and the long term future of local services.
With proposed modifications to proposals now moving into a further technical consultation including potential steps towards four unitary councils for Sussex and changes to both the West Sussex and East Sussex/Brighton & Hove proposals, clarity remains some way off.
At South East Employers, we’ll continue to track developments closely and stand ready to support councils across the region as you navigate the next stages of this process. Our focus remains on supporting strong governance, effective leadership and resilient organisations as the South East enters this new era.