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Levels of power · Level 1 of 10

Neighbourhood and community power

The smallest units of power: residents' and tenants' associations, neighbourhood forums, homeowners' associations, community councils and, in many countries, customary or traditional leaders. Most are not part of the state, but many hold real say over housing, planning objections, small grants and how a street is policed.

What this level decides

Key figures

FigureValueSource
Parish and town councils in England leading or managing neighbourhood plans (As stated 30 July 2026)2,850National Association of Local Councils (NALC), read 23 October 2026
Share of Community Infrastructure Levy receipts passed to a parish council where a neighbourhood plan is in force (Guidance page updated 17 June 2026)25%Ministry of Housing, Communities and Local Government (MHCLG), read 23 October 2026
Share of Community Infrastructure Levy receipts passed to a parish council with no neighbourhood plan or order (Guidance page updated 17 June 2026)Up to 15% (capped by formula)Ministry of Housing, Communities and Local Government (MHCLG), read 23 October 2026
Minimum individuals required in the membership of a designated neighbourhood forum (Planning practice guidance, last updated 25 September 2020)21Ministry of Housing, Communities and Local Government (MHCLG), read 23 October 2026
Government general and technical support funding for neighbourhood planning for parish and town councils and forums (As reported 30 July 2026)Ended at the end of the 2025/26 financial yearNational Association of Local Councils (NALC), read 23 October 2026
Community Ownership Fund, a programme to help communities buy or renovate local assets across the UK (Interim evaluation published 14 January 2026)£150 millionMinistry of Housing, Communities and Local Government (MHCLG), read 23 October 2026
Previously announced Plan for Neighbourhoods locations (renamed Pride in Place Programme on 25 September 2025) (Collection page, 2025)75Ministry of Housing, Communities and Local Government (MHCLG), read 23 October 2026
Largest housing allocation cited in MHCLG's neighbourhood planning toolkit (Winsford Neighbourhood Plan) (Toolkit dated April 2026)3,362 dwellingsMinistry of Housing, Communities and Local Government (MHCLG), read 23 October 2026

How it works

At this level the official framework in England is neighbourhood planning, introduced through the Localism Act 2011 according to the National Association of Local Councils (NALC). A neighbourhood plan can be led by a parish or town council. Where no such council exists, a group can apply to the local planning authority to be designated as a neighbourhood forum. MHCLG guidance says a forum must have a membership that includes a minimum of 21 individuals. Forum members are not elected in the way councillors are.

Decisions are made in stages. MHCLG guidance says a draft plan must be in general conformity with the strategic policies of the development plan, is examined, and then goes to a local referendum. Once approved at referendum, a neighbourhood plan attains the same legal status as a local plan and forms part of the statutory development plan. Planning applications are then decided using both the local plan and the neighbourhood plan, alongside any other material considerations.

Money mostly comes through the Community Infrastructure Levy. MHCLG guidance says a parish council area with a neighbourhood plan or order in force receives 25% of the relevant levy receipts, and up to 15% (capped) without one. Where there is no parish council, the charging authority keeps the receipts but should agree with the community how to spend them. NALC reports that central government support funding for neighbourhood planning ended at the end of 2025/26.

MHCLG's community rights guide lists other tools for residents: the Community Right to Bid and Asset of Community Value listings, the Community Right to Challenge, the Community Right to Reclaim Land and Community Right to Build Orders. A Community Right to Build Order can be created by a local community organisation, so it is not restricted to a parish council or forum. The Community Ownership Fund was a £150 million programme to help communities buy or renovate local assets.

Separate from planning, MHCLG's Plan for Neighbourhoods programme was renamed the Pride in Place Programme on 25 September 2025. Its collection page refers to 75 previously announced locations, whose boards were asked to submit regeneration plans by 28 November 2025. The English Devolution and Community Empowerment Bill guidance also describes a commitment to improve up to 350 deprived communities and £500 million for trailblazer neighbourhood pilots.

How to have a say

  1. Find your local council, then ask its planning team whether your area has a designated neighbourhood area, parish council or neighbourhood forum
  2. Read MHCLG's neighbourhood planning guidance on who can lead a plan, how it is examined and how the referendum works
  3. Check the community rights guide to see whether you can nominate a local asset, make a Community Right to Bid or propose a Community Right to Build Order
  4. Comment on a live planning application through your local planning authority (the Planning Portal explains that it does not take comments itself)
  5. Register to vote so you can take part in a neighbourhood plan referendum and local elections
  6. Make a Freedom of Information request to your council for planning or levy spending records

The records you can check

Official registers and data

In the UK

Around the world

Community groups, customary leaders and homeowners' associations in each country, from the constitution, local government laws and national statistics offices:

Up and down the ladder

Above: Parish, town and community councils.

Common questions

What does neighbourhood and community power decide?

Objections and comments on planning applications; Small community grants and how they are spent; Rules for shared housing estates and private developments (covenants and service charges); Priorities for neighbourhood policing, through local panels and meetings.

Which records show what neighbourhood and community power do?

Community grant awards published by councils and funders; Planning objections on council planning registers; Neighbourhood policing priorities published by police forces; Service charge and covenant rules registered with the land registry.

What is a neighbourhood plan?

MHCLG guidance says a neighbourhood plan lets communities shape development in their area. Unlike a parish or village plan, it forms part of the statutory development plan and sits alongside the local planning authority's local plan. Planning decisions are made using both. It must be approved at examination and then at a local referendum before it comes into force.

How many parish and town councils are leading neighbourhood plans?

NALC reported on 30 July 2026 that 2,850 parish and town councils in England are currently leading and managing neighbourhood plans. It launched a survey of them to inform its response to MHCLG's forthcoming update to neighbourhood planning guidance. The figure counts councils involved, not the number of plans made.

Who can write a neighbourhood plan if there is no parish council?

MHCLG guidance says a designated neighbourhood forum can lead the process where there is no town or parish council. A group applies to the local planning authority for designation. The forum must have a membership that includes a minimum of 21 individuals and must show how it has met the conditions for designation.

Do neighbourhoods get any money from new development?

Yes, through the Community Infrastructure Levy where the local authority charges it. MHCLG guidance says a parish council receives 25% of relevant receipts where a neighbourhood plan or order is in force, and up to 15% (capped by a formula) where there is not. Where there is no parish council, the charging authority keeps the money but should engage the community.

What is a Community Right to Build Order?

MHCLG guidance describes it as a form of Neighbourhood Development Order that a local community organisation can create. It can be used to grant planning permission for small-scale development for community benefit on a specific site. Unlike a neighbourhood plan, it is not restricted to a town or parish council or a neighbourhood forum.

Is government funding for neighbourhood planning still available?

NALC reported on 30 July 2026 that at the end of the 2025/26 financial year the government ended all general and technical support funding previously available to parish and town councils and neighbourhood forums for neighbourhood planning. NALC added that the government has said it has no plans to repeal the Localism Act 2011.

Sources