Committee publication · Correspondence · 20 May 2026
Correspondence from the Ministry of Housing, Communities and Local Government relating to rural proofing policies, dated 21 January 2026
Summary
The Ministry of Housing, Communities and Local Government outlines its approach to rural-proofing policy development across housing, local government finance, and community programmes. MHCLG states it assesses rural impacts case-by-case, collaborates with Defra and rural stakeholders early in policy design, and has incorporated rural considerations into the £39 billion Social and Affordable Homes Programme, the updated Local Government Finance Settlement (first reform since 2013), and the Pride in Place Programme targeting 244 places.
Key findings
- MHCLG incorporates rural proofing on a case-by-case basis through consultations, early engagement with rural local authorities and representative bodies, and collaboration with Defra via cross-government forums including the Rural Insights Forum.
- The Local Government Finance Settlement, updated for the first time since 2013, now includes journey times adjustment, increased home-to-school transport caps (20 to 50 miles), remoteness adjustment for adult social care, and updated deprivation data to account for rural cost variations.
- The £39 billion Social and Affordable Homes Programme employs flexible grant rates to support rural affordable housing delivery; the Pride in Place Programme will allocate up to £5 billion to 244 places including rural areas in Wiltshire, East Lindsey, and Somerset.
- Take-up of the Civil Service Learning module on 'understanding rural affairs' has been low over the past 12 months; MHCLG encourages staff to consult Defra experts and rural stakeholders early in policy development.
- The 2025 Index of Multiple Deprivation rural report identified that rural deprivation is dispersed and can be missed at smaller geographies; MHCLG's Pride in Place Programme uses neighbourhood targeting, combines IMD with Community Need Index, and applies constituency caps to improve rural selection.
Tone
ProceduralTopics
Key actors
Steve Reed, Alastair Carmichael, Ministry of Housing, Communities and Local Government, Department for Environment, Food and Rural Affairs, Action with Communities in Rural England, Rural Services Network, County Councils Network
Notable line
“… we are accounting for the variation in cost of delivering services between places, including between rural and urban areas.”
Key Quotes
“MHCLG puts places, and their unique attributes and challenges, at the heart of our delivery, working in partnership with local authorities and leveraging their deep understanding of local contexts to ensure effective policy development and delivery.”
“… in response to consultation feedback, we increased the cap within the home to school transport formula from 20 to 50 miles, in recognition that the original distance cap would unfairly penalise councils who have no choice but to place children further from home.”
“… we are accounting for the variation in cost of delivering services between places, including between rural and urban areas.”
“While take-up for the training module on "Better policy making – understanding rural areas" has been low over the past 12 months, the department continues to actively promote all learning and development opportunities to ensure staff have the tools and knowledge needed to deliver high-quality policy outcomes.”
“The 2025 publication of the Index of Multiple Deprivation (IMD) included a supplementary report on deprivation in rural areas.”
Source · parliament.uk record ↗