Lyons Inquiry final report and associated documents
This section of the website provides links to all parts of Sir Michael's final report on the form, function and funding of local government, and to documents from launch of the report.
Lyons Inquiry conference: Final Report and Recommendations, 27 March 2007
Launch of the final report, 21 March 2007
Printed copies of the final report can be purchased from
The Stationery Office, quoting ISBN: 978-0-11-989854-5
Final report contents
Executive Summary
Preface by Sir Michael Lyons
Executive summary
(Adobe Acrobat file, 2,962kb)
Part I: Background to the Inquiry
1. Local government: a continuing debate
Introduction
Context for the Inquiry
The history of local government
Conclusion
(Adobe Acrobat file, 696kb)
2. Local government in the 21st century: what is it for?
Introduction
Theories of local government
The modern role for local government
What do we want from local government?
Conclusion
(Adobe Acrobat file, 224kb)
Part II: Problems and solutions
3. What is limiting modern local government?
Introduction
High degree of central control
Lack of flexibility
Expectations and pressures on services
Confused accountability
Public attitudes
Poor incentives in distribution of national resources
Conclusion
(Adobe Acrobat file, 275kb)
4. Central government's contribution to reform
Introduction
Improving accountability
Protecting flexibility
What this means for services
Conclusion
(Adobe Acrobat file, 408kb)
5. Local government's contribution to reform
Introduction
Place shaping - the challenge for local government
Improving local accountability
Innovative, local solutions to public service challenge
Conclusion
(Adobe Acrobat file, 280kb)
Part III: Funding
6. Funding reform: an introduction
Objectives for reform
Framing a package of reform
(Adobe Acrobat file, 163kb)
7. Household taxation and local charges
Introduction
Council tax
Council tax benefit
Local income tax
Local service charges
(Adobe Acrobat file, 419kb)
8. Business taxation
Introduction
Business rates
Section 106 and planning gain supplement
Taxes on tourist pressures
(Adobe Acrobat file, 279kb)
9. The funding system and incentives
Introduction
incentives, equalisation and grant
Shared revenues to support local services
Conclusion
(Adobe Acrobat file, 266kb)
Part IV: Conclusions
10. A developmental approach
Introduction
Changing behaviours
Legislative and policy changes
Options for future governments
Underpinning the developmental approach
Conclusion
(Adobe Acrobat file, 163kb)
Summary of recommendations
(Adobe Acrobat file, 126kb)
Glossary
(Adobe Acrobat file, 101kb)
Download full report, excluding annexes
(Adobe Acrobat file, 5,521kb)
Annexes to the report
Annex A
Understanding the current grant distribution system
(Adobe Acrobat file, 121kb)
Annex B
Introduction to the modelling used in the report
(Adobe Acrobat file, 108kb)
Annex C
Background to support Chapter 7
(Adobe Acrobat file, 342kb)
Annex D
Background to support Chapter 8
(Adobe Acrobat file, 136kb)
Annex E
Background to support Chapter 9
(Adobe Acrobat file, 148kb)
Annex F
Summary of submissions
(Adobe Acrobat file, 167kb)
Annex G
Stakeholder views on Barker, Eddington and Leitch
(Adobe Acrobat file, 133kb)
Annex H
Research and stakeholder engagement
(Adobe Acrobat file, 156kb)
Research published alongside the final report
Lyons Inquiry survey 2007
(Adobe Acrobat file, 1,853kb)
Lyons Inquiry: Extended Terms of Reference - September 2005
The Deputy Prime Minister and the Chancellor of the Exchequer have agreed with Sir Michael Lyons that he will extend his work so that he can consider issues relating to the functions of local government and its future role, as well as, and prior to, making recommendations on local government funding. His work will inform the Comprehensive Spending Review 2007.
In addition to its existing remit which is focused on local government funding, Sir Michael's independent Inquiry will:
- consider the current and emerging strategic role of local government in the context of national and local priorities for local services; and the implications of this for accountability;
- review how the Government's agenda for devolution and decentralisation, together with changes in decision making and funding, could improve local services, their responsiveness to users, and efficiency;
- in the light of the above, consider in particular: how improved accountability, clearer central-local relationships, or other interventions could help to manage pressures on local services; and changes to the funding system which will support improved local services;
- publish a report or reports, as appropriate, in time for the Comprehensive Spending Review 2007.
Sir Michael will work closely with local government as well as with central government in delivering his remit.
Contact details
The Lyons Inquiry has now closed. Please direct your queries to Communities and Local Government or HM Treasury.
Communities and Local Government general enquiries helpline: 020 7944 4400
HM Treasury Correspondence and Enquiry Unit: 020 7270 4558
Further contact details are available on their respective websites
Quick links
Lyons Inquiry archive
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The UK Web Archiving Consortium website.
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