Budget Countdown: Will Rural England Be Seen and Heard?

With the Autumn Budget announcement set for tomorrow, speculation has dominated political coverage in recent weeks. From tax changes to energy support, much of the debate remains uncertain, but for rural areas, the stakes are clear.

This comes at the end of a significant week for local government finance. The Government’s response to the Fair Funding Review 2.0 confirmed proposals that still fail to fully reflect the unavoidable additional costs of delivering services in rural and remote places. As we set out in our official response, the RSN is disappointed that remoteness continues not to be applied consistently across all services, despite extensive evidence from rural authorities during the consultation process

Against this backdrop, attention now turns to the Budget, and what it may (or may not) deliver.

Media speculation ranges widely, but several themes could have major implications for rural communities. Councils will be looking for clarity on funding and whether any further support will be provided for services already under extreme strain. Housing and rental market measures have also been widely discussed, from potential changes to Local Housing Allowance to longer-term reforms. For rural areas, where affordability pressures and limited supply are longstanding issues, even small shifts could have outsized effects.

Transport and connectivity are also back in the spotlight. Proposals circulating around VAT for private hire vehicles or a possible EV pay-per-mile model would have different consequences in rural regions, where residents often rely on cars or taxis in the absence of public transport. These concerns are reflected throughout our pre-Budget response grid, which highlights how rural areas would be disproportionately affected by a “one-size-fits-all” approach

Energy support is another area dominating pre-Budget discussion. There has been growing speculation that the Chancellor may consider some form of relief on energy bills, potentially through VAT or levy changes. For rural households, however, the question is not simply if support is offered, but who it reaches.

According to DEFRA data, 31.1% of homes in rural constituencies are off the gas grid, compared with 12.2% in urban constituencies. Many rely on heating oil or bottled gas, neither of which is price-capped. The DEFRA Rural Digest also confirms heavier reliance on heating oil in rural areas, meaning that the fuel-poverty gap is twice as high in rural communities. Any measure that only targets gas or mains electricity risks leaving many rural residents behind, despite facing higher costs to heat their homes

While much remains uncertain until Wednesday, what is clear is that rural communities must be recognised in the decisions taken. From council budgets to housing, transport, and household energy bills, rural areas face distinct realities that need to be reflected in national policy choices.

The RSN will be watching the Budget closely and will provide detailed analysis once the Chancellor’s announcements are made. We’ll review the full Budget announcement once published and share our analysis in due course.

Every person, in every place, deserves the same fairness and the same chance to thrive.