London Daily

Focus on the big picture.
Saturday, Mar 07, 2026

Revealed: levelling up fund allocated south-east twice as much as north-east

Revealed: levelling up fund allocated south-east twice as much as north-east

New figures raise further questions about failure of government fund to reach the poorest areas of UK

The south-east of England, the most affluent region in Britain outside London, last year received almost twice as much money as the north-east from the government’s levelling up fund aimed at boosting deprived areas.

Projects in the south-east benefited from £9.2m from the fund in the year to 31 March 2022. By comparison, the north-east only received £4.9m, despite being the poorest region in Britain by disposable household income.

The £4.8bn fund is under scrutiny over its failure to date to deliver to some of the poorest areas of the country. There are also questions over the criteria for allocating money after the former chancellor, Rishi Sunak, told an audience that he changed funding formulas to divert money from “deprived urban areas”.

Ministers want the multi-billion pound fund to provide a cash boost to some of the poorest areas of the UK, but the new figures obtained under freedom of information laws reveal that just £107.4m of funds were delivered in the year to 31 March 2022.

Source: Department for Levelling Up, Housing and Communities, FOI disclosure


Jack Shaw, a researcher into local government who obtained the new figures, said: “With less than 3% of the levelling up fund having been spent in its first year, the rhetoric of levelling up hasn’t matched the reality.

“The government needs to be clear about why that is the case and why [the north-east] despite the focus on correcting regional imbalances, has received less than 5% of the fund’s spending to date.”

Initially, it was hoped that £600m would be delivered in 2021/22 by the fund. The figure was revised downwards to £200m, but not even that target has been hit.

The new figures reveal the West Midlands received the most money in 2021/22, with projects receiving £16.3m of funds. Northern Ireland received the smallest amount, with projects receiving just over £1m of cash, equivalent to 57p per head of population.

While the north-east received less funds than the south-east in 2021/22, it did receive more per head of population: £1.83 per capita, compared to the £1 per head of population received in the south-east.

Officials say they allocated £1.7bn in the first round of funding in which the successful bidders were announced in October last year. Bids for the second round closed last month.

Lisa Nandy called for an inquiry into why the funds had not reached some of the poorest areas.


In the 2020 spending review, Sunak announced the launch of the levelling up fund to support towns and communities with regeneration schemes. It will run over four years from 2021/22 to 2024/25.

The methodology for allocating awards has faced criticism for not using deprivation levels to rank areas for priority funding.

Lisa Nandy, the shadow levelling up secretary, called for an inquiry into why some of the poorest communities have so far missed out in levelling up awards.

A spokesperson for the Department for Levelling Up, Housing and Communities said: “This is a selective use of figures and does not accurately represent allocations from the first round of the Levelling Up Fund, where the North and Yorkshire are receiving £519m, more than the south-east and London combined.

“We are working closely with all levels of government to relentlessly drive forward our shared ambition to fuel regeneration and growth in areas which have been overlooked and undervalued for far too long.”

Newsletter

Related Articles

0:00
0:00
Close
UK Dentists Returned £1.3 Billion to Government as Shift Toward Private Care Accelerates
Expert Warns UK Must Build Emergency Food Stockpiles to Prepare for Climate Shocks or War
UK Plans Charter Flight to Evacuate British Nationals from Gulf as Regional Conflict Disrupts Air Travel
Families of Zimbabwe’s Liberation Fighters Call on Britain to Help Locate Skulls Taken During Colonial War
Iran’s Ambassador Warns Britain to ‘Be Very Careful’ Over Deeper Role in Expanding Middle East War
UK Military Leadership Defends Britain’s Defensive Role in Expanding Middle East Conflict
Four U.S. Strategic Bombers Arrive in Britain as Iran War Intensifies
Soham Murderer Ian Huntley Dies After Violent Attack in High-Security Prison
UK Lawmakers and Experts Condemn Scale of Overseas Human Remains Held in British Museums
Royal Navy Aircraft Carrier HMS Prince of Wales Placed on Standby for Potential Deployment
United Kingdom Confirms U.S. Military Using British Bases for Operations Targeting Iranian Missile Sites
Starmer Defends UK Role in Iran Conflict After Renewed Criticism from President Trump
Blue Owl Reveals £36 Million Exposure After Collapse of UK Lender Serving Wealthy Clients
UK Asylum Reform Plan Triggers Fierce Debate Over Border Control and Humanitarian Impact
US Stealth Bombers Head to UK Base as Trump Issues Stark Warning to Iran
UK Deputy Prime Minister Says Legal Case Could Exist for British Strikes on Iranian Missile Sites
Investigators Link Mysterious Parcel Fires Across Europe to Russian Intelligence Operation
Debate Intensifies Over Britain’s Legal Justification for US Military Operations Launched From UK Bases
Britain Faces Heightened Energy Price Risks as Iran-Linked Tensions Threaten Global Oil and Gas Supplies
British Counter-Terror Police Arrest Four Suspected of Spying on Jewish Community for Iran
Axel Springer Agrees $770 Million Deal to Acquire Britain’s Daily Telegraph
Iceland Supermarket Drops Trademark Challenge Against Icelandic Government in Long-Running Naming Dispute
UK Defence Secretary Visits Cyprus Following Scrutiny of Britain’s Response to Drone Attacks
Questions Grow Over Britain’s Military Readiness as Response to Iran Conflict Draws Scrutiny
UK Offers Failed Asylum Seeker Families Up to Forty Thousand Pounds to Leave Voluntarily
Saharan Dust Could Bring ‘Blood Rain’ to Parts of the UK as Weather Systems Shift
UK Deploys Additional Typhoon Fighter Jets to Qatar and Helicopters to Cyprus Amid Rising Middle East Tensions
Experts Urge Britain to Accelerate Renewable Energy Push as Global Conflicts Drive Up Costs
British Public Shows Strong Reluctance to Join Wider War in Iran
First UK Evacuation Flight Departs Middle East After Lengthy Delay
United Kingdom Imposes New Visa Requirements on Travelers from St. Lucia and Nicaragua
Iran Conflict Strains U.S.–U.K. Alliance as Trump and Starmer Clash Over Military Strategy
UK Interest Rates Could Rise Above Four Percent Again if Energy Shock Continues, Think Tank Warns
Starmer Defends Britain’s Iran Strategy as Badenoch Urges Stronger Military Support
Labour MP Says She Saw No Sign Husband Broke Law After Arrest in China Espionage Investigation
UK Jobless Rate Overtakes Italy’s for First Time in Years as Labour Market Weakens
United Kingdom Suspends Student Visas for Four Countries in Unprecedented Immigration Move
Campaigners Warn UK Student Visa Ban Could Push Migrants Toward Dangerous Channel Crossings
First U.K. Charter Flight for Stranded Nationals Set to Depart Oman Amid Middle East Crisis
France and United Kingdom Deploy Warships to Eastern Mediterranean as Middle East Conflict Escalates
U.K. Arrests Three Men Including Lawmaker’s Partner in Suspected China Espionage Investigation
Trump Says UK–US ‘Special Relationship’ Is Diminished Amid Middle East Dispute
UK Economic Forecasts Face Fresh Strain from Middle East Conflict and Rising Energy Costs
UK Reaffirms Close US Ties After Trump’s Public Criticism
Reeves Stresses Stability and Fiscal Discipline in UK Budget Update as Growth Outlook Shifts
UK Deploys Royal Navy Destroyer HMS Dragon to Cyprus After Drone Strike on RAF Base
Green Party Surges Past Labour in New UK Poll as Traditional Party Support Crumbles
Majority of Britons Oppose U.S. Use of UK Military Bases in Iran Conflict
UK Intensifies Evacuation Efforts from Oman, Working with Airlines to Boost Flight Capacity
Trump Condemns UK and Spain in Unusually Sharp Rift Over Iran Military Action
×