Three Cambridgeshire councils have now backed the creation of a new unitary Council for Greater Cambridge and another for North Cambridgeshire and Peterborough – with local leaders saying they offer financial security, deliver up to £43 million savings a year and respect local identities.
South Cambridgeshire District Council this week (Monday 24 November) agreed to submit their preference to Government. Last Thursday (20 November) Cambridge City Council and East Cambridgeshire District Council also agreed to formally support the proposal – which is known locally as ‘option B’.
A detailed proposal making the case for these two new unitaries has been produced through close working between Cambridge City Council, East Cambridgeshire District Council and South Cambridgeshire District Council, as well as other councils in Cambridgeshire. That detailed proposal has now been submitted to Government.
It's after the Government asked all two-tier council areas like Cambridgeshire and Peterborough to simplify local government by replacing the current complex system of seven councils with fewer, stronger councils. Each new council would provide all local services – from housing and planning to social care – under one roof.
This is a once-in-a-generation opportunity to create councils that are easier to deal with, financially secure, and better able to deliver services people rely on.
With three councils making the case for option B, it is the option with the most support across the area and has cross-party support.
Option B would replace the seven existing councils with two new unitary councils:
- North Cambridgeshire and Peterborough – serving around 612,000 people in East Cambridgeshire, Fenland, Huntingdonshire and Peterborough.
- Greater Cambridge – serving around 322,000 people in Cambridge and South Cambridgeshire.
Why Cambridge City, East Cambridgeshire District and South Cambridgeshire District councils believe option B is best
- Financial security: Independent analysis shows option B is the most financially sustainable option of the proposals developed by local councils this year. It would save up to £43 million a year, more than three times the saving of other options developed locally, paying back the cost of change in just four years. Future savings will be reinvested in frontline services, as residents have called for.
- Fairness for all: Option B creates two councils that are the right size to meet local needs, for both urban and rural communities. It avoids the risk of one area being left behind and ensures resources are shared fairly.
- Respect for local identity: The new councils will reflect historic communities and keep decision-making close to residents.
- Supports growth and jobs: Each council will focus on its strengths. Greater Cambridge has a world-leading science and tech economy and is a geography that directly aligns with the Government’s ambitions for the area, whilst North Cambridgeshire and Peterborough is an industrial and agricultural powerhouse – creating more jobs and homes for its market towns and cities.
- Future-proofed: Option B meets government’s tests for financial resilience, economic balance, and sustainable public services better than any other option.
- Residents agree: In a recent survey of Cambridge and South Cambridgeshire residents, 63.5% of respondents supported option B because it offers the best chance of delivering simpler, stronger councils that care about local communities, and in a survey of East Cambridgeshire residents a majority of respondents also supported option B.
- Better services: Residents told the councils they want councils that are easier to contact, more responsive, and focused on frontline services. Option B delivers that.
- Simpler, stronger councils: One council for your area means less confusion and quicker decisions.
Cllr Anna Bailey, Leader of East Cambridgeshire District Council, said: "Option B creates simpler councils, with stronger services – while respecting the unique character of the different districts within the area. By playing to each council's economic and geographic strengths, we can maximise our growth potential and deliver real savings that can be reinvested in providing excellent public services. It’s the right choice for residents and businesses across Cambridgeshire and Peterborough."
Cllr Cameron Holloway, Leader of Cambridge City Council, said: “This is a once-in-a-generation opportunity to create new councils that work for the longer-term, and we want to get this right. Option B is the most financially sustainable of the options put forward locally, and therefore also the one best placed to deliver high quality services to residents. A single council for the fast-growing Greater Cambridge area would help to streamline governance and enable us to better manage the pressures that come with growth. We want our area to continue to contribute to the country and the world, economically and through research and innovation, but growth here also needs to work for local residents. With a new council focused on Greater Cambridge, we could more effectively plan for supporting new and existing communities, public services, key infrastructure, good jobs, and vibrant natural habitats."
Cllr Bridget Smith, Leader of South Cambridgeshire District Council, said: "This is about creating future-proofed councils that work better for people – not maintaining the status quo. Option B creates two new unitary councils that are the right size to thrive, while being local enough to care. Both new unitary councils will be able to invest more in growth initiatives and high-quality services that deliver better outcomes for our residents, businesses and visitors. It’s the best way to protect vital services and make sure every community thrives, while keeping decision-making close to our communities."
Next steps
Four proposals are being submitted to Government by the Cambridgeshire and Peterborough councils. There will be a consultation run by the Government in 2026, before they ultimately make a final decision next summer. New unitary councils are then due to begin operating in a shadow capacity from May 2027, with full implementation expected in April 2028.
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