UPDATE: Reform councils have dramatically increased spending on private sector contracts, signing deals worth £5.5 billion in just six months since their election on May 1, 2025. This marks a significant surge compared to £2.8 billion during the same period in 2024, according to a new report by data company Tussell shared with the New Statesman.
This rapid increase in spending comes as party insiders claim that higher expenditures reflect greater efficiency. However, critics warn that the rising contract values could jeopardize Reform’s commitments to reinvigorate local government and reduce council tax. The largest contract signed was in Nottinghamshire, valued at £3.7 billion, awarded to Veritas Group for catering and facility management services.
Kent County Council also reported a substantial increase, with procurement contracts rising from £207 million in May-November 2024 to £408 million in the same timeframe in 2025. These figures raise concerns about the feasibility of Reform’s promises to cut council tax, as eight councils within the party have already pledged the maximum allowable increase of 5 percent for the upcoming year.
Despite expectations from Reform voters for budget cuts and reduced spending, financial pressures on councils remain unyielding. Jonathan Carr-West, Chief Executive of the Local Government Information Unit, emphasizes that the political party in control does not alter the budgetary demands councils face, particularly in essential services like social care and temporary accommodation.
Carr-West stated:
“The political party in control doesn’t change the spending pressures councils face, most of which it has a legal responsibility to meet.”
Reform’s ambitious plans include the establishment of a ‘Department of Government Efficiency’ led by former Chairman Zia Yusuf. However, reports indicate that the group has only visited three of their ten councils, raising questions about their commitment to efficiency.
A spokesperson for Reform responded to criticisms, asserting:
“This is a misleading and fundamentally flawed comparison that fails to fairly reflect how business, contracts, councils and money works.”
As the situation develops, observers will be watching closely to see how Reform councils navigate these challenges and if they can deliver on their promises while managing rising costs. The implications for local government and taxpayers are significant, making this a crucial moment in the political landscape. Share this article to keep others informed about these urgent developments.
