Role of town and parish councils

Town and parish councils were first established by the Local Government Act 1894. The Local Government Act 1972 restructured local government within England and Wales, providing the legal foundation for the existence of today’s parish and town councils. Parish councils can decide to call themselves ‘town’, or ‘community’, ‘neighbourhood’, or ‘village’ councils. Parish and town councils are represented by the National Association of Local Councils (NALC), and by county-based associations.

Parish councils are not a mandatory tier of local government and do not exist in all parts of England. They have traditionally been less common in urban areas, though a parish council can cover either a whole town or city or a neighbourhood within it. Currently, roughly 40% of the population of England lives in an area with a parish council.

In Scotland and Wales community councils (the equivalent of parish and town councils) are a devolved matter. No equivalent to parish and town councils exists in Northern Ireland.

Some legislation covering principal authorities (county, district and unitary authorities) do not cover, or apply differently to, parish and town councils:

• The legislation regarding executive arrangements (mayors/cabinets) and overview and scrutiny in the Localism Act 2011, originally introduced in the Local Government Act 2000, does not apply to parish councils.
• The requirements for committees to be politically balanced, in the Local Government and Housing Act 1989, do not apply to parish councils.
• English parish and town councils are not covered by the Local Government Ombudsman.
• Limited requirements for audit exist for councils with an income and expenditure of under £6.5 million (a limit which applies to all parish and town councils); see the provisions of the Local Audit and Accountability Act 2014. Councils with an income and expenditure of under £25,000 are not subject to routine audit.

The procedure to create a new parish council can be found in the Local Government and Public Involvement in Health Act 2007. New parish and town councils are created via a ‘community governance review’. This process is the responsibility of the district or unitary council for the area.

The community governance review must examine whether one or more parish councils should be created. This procedure is also used to divide, merge, or abolish a parish or town council, or to change the number of councillors or wards. The outcome must ensure that the pattern of local government is ‘effective and convenient’ and ‘reflect the identities and interests of the community in that area’ (see section 93 of the 2007 Act).

There is no requirement for a community governance review to adhere to historical parish boundaries, or county or district ward boundaries. However, a parish council cannot disregard the boundaries of the unitary or district authority.

Guidance for councils undertaking community governance reviews was most recently published in March 2010. The guidance recommends that a community governance review should take place every 10-15 years.

A council which receives a valid petition is under a duty to carry out a community governance review as requested by the petitioners, unless it has already conducted a review of the same area, or of substantially the same area, during the previous two years. Once the review has started (that is, the terms of reference have been published), it must be concluded (i.e. the recommendations must be published) within 12 months.

Minimum levels of support for petitions are set out in section 80 of the 2007 Act:

• If the petition area has fewer than 500 local government electors, the petition must be signed by at least 37.5% of the electors;
• If the petition area has between 500 and 2,500 local government electors, the petition must be signed by at least 187 electors;
• If the petition area has more than 2,500 local government electors, the petition must be signed by at least 7.5% of the electors

No comprehensive data source exists on the creation and abolition of parish and town councils in England. NALC (the National Association of Local Councils) suggested that, in 2018, there were some 270 more parish and town councils in England than existed 15 years previously.

Local government restructuring in the 2010s frequently led to the creation of new parish or town councils, particularly in larger towns. This has often followed the creation of larger unitary authorities in place of county and district councils.

Examples of new town councils created as a result of local government restructuring include Salisbury, Christchurch, Weymouth, Northampton, Shrewsbury, Harrogate, Scarborough, and Taunton.

Elsewhere, town councils have been created in previously unparished areas that have had their own borough or district councils in the past, such as Ramsgate, Bexhill, Kidderminster and Lowestoft.

The government has no plans to restructure parish and town councils. Responding to a written parliamentary question on 17 June 2025, the government said “Parish and town councils are not in scope for local government reorganisation and will continue to operate as they do now.”

the English Devolution white paper that relates to local government reorganisation says that the government “will expect new councils [unitary authorities] to take a proactive and innovative approach to neighbourhood involvement and community governance so that citizens are empowered.”

The English Devolution and Community Empowerment Bill 2024-25 was introduced into the House of Commons on 10 July and had its second reading on 2 September.

Closing the debate the Minister for Local Government and English Devolution, Jim McMahon, acknowledged calls “on behalf of town and parish councils” but felt that “neighbourhood Area Committees, led by frontline ward councillors” are the best route to achieve “A simplified and standardised system of local area-working and governance.”

Speaking at the Local Government Association’s annual conference in July, former MHCLG minister, Alex Norris warned against recreating two-tier structures via parishes.

The following provisions in the bill may impact town and parish councils:

• Neighbourhood area committees

Clause 58(3) of the bill allows the government to bring forward regulations setting out “specified organisational structures for the governance of neighbourhood areas”.

Regulations have not yet been published, but in a written statement on 3 June 2025 the government outlined their plans for neighbourhood area committees, led by ward councillors with other service providers (such as parish councillors, where they exist) as members. The committees are intended to “support local authorities to deliver their commitments to community partnership-working at a neighbourhood level.”

• Community right to buy

Clause 60 and schedule 27 of the bill would replace the current ‘community right to bid’ with a ‘community right to buy’. Nominating community groups (including parish councils) would have first right of refusal when an asset of community value is put up for sale, meaning that the seller will be required to accept the community group’s bid as long as the conditions set out in the bill are met.

Under the current system, community groups and parish and town councils can nominate a property to be listed as an asset of community value. When it is put up for sale, the group is allowed time to develop a bid and raise the money to bid to buy the property, but the seller is not required to accept the community group’s bid.

• Local audit

Clause 61 of the bill will establish a Local Audit Office which, according to a written question answered by the government on 29 April 2025, is intended to appoint auditors to smaller bodies (such as parish councils) “in the long term”.

Currently, parish councils with an income and expenditure under £25,000 are not subject to annual audit, but must still appoint an auditor, who is responsible for investigating any allegations of mismanagement. This category of parish councils is also subject to the requirements of the Transparency Code for Smaller Authorities

Parish and town councils: recent issues - An overview of the structures and functions of parish and town councils, plus discussion of policy issues in the 2010s and early 2020s.

Local government transparency in England - The Local Government Transparency Code applies to local authorities in England, including parish councils with either gross income or expenditure over £200,000.

Unitary authorities: The role of parish and town councils - An overview of the responsibilities, locations and budgets of English parish and town councils.

History of local government in English towns and cities - Historically, towns and cities could gain powers of self-government not available to other areas. Successive local government reforms have changed the system.

Written evidence submitted by NALC on 28 August for the committee stage of the English Devolution and Community Empowerment Bill. Other submissions can be viewed here: English Devolution and Community Empowerment Bill publications.

14 October 2025, NALC calls for stronger rural devolution and powers for local councils.

NALC president urges the Devolution Bill to deliver real local power on 10 September.

1 September, Contested parish and town council elections surge by 40% in 2025

Neighbourhood Governance review – MHCLG survey on views on neighbourhood governance, closed on 7 October.

Truth About Local Government (company providing support for local government leaders and teams), Grassroots Power: The Vital Role of Town & Parish Councils in a Changing Local Government Landscape, 11 July 2025

British Association for Local History, Parish councils in England and Wales 1894-1974, Roger Otwell, 2009