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Local government reorganisation and community ownership of assets - some practical tips

Locality Head of Services (South) David Moynihan explains why many councils are considering transferring ownership of assets to local people given local government reorganisation. 

He sets out tips for councils and how Locality can help.

As reported in the news, many councils are now preparing for local elections on top of the Local Government Reorganisation (LGR) already underway. Some have described this as a “race against time”, organising polling alongside major structural change.

This added pressure is particularly acute in areas creating new unitary authorities.

As part of this shift, community assets are increasingly coming into focus as councils consider how to safeguard place-based work within larger structures. Many authorities hold substantial property portfolios - community centres, libraries, civic buildings, parks and heritage spaces at the heart of local life. These assets exist for service delivery, regeneration, community wealth building, income generation, or long-standing civic stewardship.

One option gaining attention is Community Asset Transfer (CAT).

Rather than retaining ownership and day-to-day management, councils can transfer assets into community ownership (usually long lease or freehold) so local organisations steward them for long-term public benefit. At Locality, we support councils and communities to do this well.

For anyone exploring this, we’ve pulled together guidance and tools on community ownership.  We’re also running a webinar for local authorities on CAT on 19 May, focused on shaping strategy and processes in the context of LGR.

From our work with councils — including Freight House in Rochford and in Reigate & Banstead — and from a growing number of enquiries, here are some practical considerations when progressing CAT during LGR:
Clarity of purpose – Is this strategic, or reactive? A clear CAT policy supports fairness and transparency.
Community readiness – Strong governance, real community engagement and a viable business model are essential.
Due diligence under time pressure – Move at pace, but don’t shortcut valuation, liabilities or sustainability.
Political alignment – Shared member understanding reduces the risk of future reversals.
Partnership beyond transfer – What will the long-term relationship with the new authority look like?

LGR is reshaping systems; community ownership can help anchor places through change — particularly as some civic buildings may become surplus.

If you’re navigating this — in a council or community organisation — do get in touch with us at Locality. We can share our expertise and advice, tools and resources, and we offer paid specialist support for councils and communities.

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