Reform UK’s Peter Harris, who has been leader of Essex County Council since local elections in May, said Rayner’s announcement was “amazing” and “brilliant news for our residents”.

His council was one of several Conservative and Reform-run authorities in Norfolk, Suffolk and Essex which were taking legal action against the government. A first hearing was due to take place this Thursday.

“They laughed at us – they thought that we couldn’t win, but they’re not laughing now,” he told the BBC.

He said preparing for the change – which would have scrapped 15 councils in Essex and replace them with five – had “cost this council £3.5m during my time”.

Harris said he had “refused to sign cheques for £20m and £50m” linked to local government reorganisation.

He added: “There will be other councils that will have spent significant money – I chose not to do that and to fight.”

He said he feared the proposed new councils would not have been “financially viable.”

Harris said he was “not against change” and supported government plans for devolving power away from Westminster, including creating a mayor for Greater Essex.