Mae cyni’n arwain at bwysau gwirioneddol, ac mae angen gwirioneddol hefyd i gryfhau awdurdodau lleol. Felly, mae diwygio llywodraeth leol yn rhywbeth sy’n rhaid ei wneud ac nid yn fater o ddewis. Ac o ran y diwygio, wrth gwrs, fe gafodd llawer o gynnwys y Bil Llywodraeth Leol (Cymru) Drafft a gyhoeddwyd yn ystod y Cynulliad diwethaf ei groesawu gan awdurdodau lleol a’u partneriaid. Fodd bynnag, fel y bydd yr Aelodau yn gwybod yn iawn, roedd agweddau pwysig o’r cynigion blaenorol lle na lwyddwyd i sicrhau cytundeb.

In seeking now, Dirprwy Lywydd, to create a new consensus, I want the Welsh Government’s relationship with local authorities to be based on trust and a willingness to work together and an appreciation of our respective but distinctive roles in improving outcomes for people in Wales. In pursuit of that new consensus and that new relationship, I have visited all 22 local authorities since taking up this responsibility. I’ve held meetings with the Welsh Local Government Association, trade unions and other stakeholders, as well as political parties represented in this Assembly. I’ve listened carefully to all these views on the challenges faced by local government and ways these might best be addressed.

As anticipated, my discussions with local authority leaders have shown that there is much we agree on, including many of the reform proposals set out in the previous Bill. I hope that we have now reached a level of agreement on a way forward on those matters where consensus was previously absent. In this oral statement, I intend to set out the broad elements of this emerging way forward.

In the first instance, this model would see retention of the 22 existing authorities as the democratic tier of local government to which councillors are elected in Wales. Some authorities may, nevertheless, wish to respond to local circumstances by bringing forward proposals for voluntary mergers. I intend to make that possibility available to them and, where such proposals come forward that improve the resilience of these authorities, we will offer positive support to them and work closely to help bring about change.

While authorities will be the front door through which citizens continue to access services locally, my proposals require more widespread and concerted collaboration between authorities in regional arrangements. I intend, therefore, to pursue options for a new enhanced level of mandatory and systematic regional working. This will provide resilience in staffing and finance and enable the design and delivery of services at the scale necessary for them to enhance effectiveness. This means mandating the services and governance arrangements on consistent geographical footprints and rationalising existing collaborative arrangements.

The approach most advocated to me in discussions over the summer was a two-footprint model. One based around city regions, covering strategic transport, land-use planning and economic development, and another aligned to health boards for services such as education improvement, social services and public protection. At this point, Dirprwy Lywydd, I have an open mind on the specifics of geography and function, but I am clear that these practicalities must be consistent with the principle of mandated and systematic arrangements. As a result, we will consider all services as part of our discussions, and in particular those that we jointly consider to be the most at risk in times of austerity.

Dirprwy Lywydd, experience in the NHS has shown that shared supporting services are able to offer savings and improvements in quality. I intend to explore with local government those functions that could best be taken forward in the same way. I want to be clear today that, as part of this reform package, we are setting out on this shared-service journey with a new determination. I’m prepared to see progress over a sensible and practical time frame, but progress must be made.

Finally, let me recognise the part played by town and community councils as part of the local government landscape. They play an important role in many communities, but in my visits across Wales I have been struck by the enormous variability in scale, scope, capability and ambitions within the sector. I intend to enact a set of immediate arrangements to help town and community councils as they exist today to become more effective. However, alongside this, I intend to establish an independent group to take a root-and-branch look at the future role of this tier of government and to develop a blueprint for getting the maximum potential out of the sector in future.

Dirprwy Lywydd, I am conscious that local government has been through a period of extended uncertainty about its future and the corrosive impact this has had on morale. It has been part of my aim in taking on responsibility for local government to resolve this uncertainty as soon as practicable. I announced in June that councillors elected to existing councils in 2017 will serve a full five-year term to 2022, providing clarity and certainty for those standing for election next year. Today, I am able to announce that there will also be elections to these councils—less any that merge voluntarily—in 2022. This confirms a permanent five-year election cycle and provides local government with a 10-year stable platform from which to take forward reform.

Dirprwy Lywydd, I’m under no illusion about the challenge that still lies ahead. We will work with local government and other stakeholders over the coming months to develop the detail of the approach I have outlined this afternoon. My own approach throughout will be to work with other political parties in what I believe to be the shared ambition to secure a successful future for local government in Wales. Quite certainly, this cannot be developed and delivered by Government alone; shared leadership, political and official, is essential.

By the turn of the year, I hope to have identified, with local government, their recognised trade unions and other partners, a viable way forward. We will have narrowed down what the footprint for regional working should look like, the functions to be delivered through regional working and the related governance and accountability arrangements. We will also consider how the local government funding system should be aligned to support the change programme. There is a great deal to be done. Today, I have set out a fresh approach and the building blocks for reform with the aim of securing a resilient and renewed local government in Wales.