The Local Public Service Agreement Round 2 (LPSA2) is an agreement reached by central and local government that sets out performance targets that will deliver real improvements in outcomes for local people.

The agreement consists of  'stretch' outcome targets, this means that a baseline target is taken from recent performance information and the target to be achieved over three years is 'stretched' to ensure that there is improvement in performance. The government relies on the council to decide how best to achieve that result. Achieving the 'stretched' outcome attracts a reward grant, and there is an initial pump-priming grant (PPG) given at the start of the agreement to help towards achieving the improvements.

The full agreement is attached below: