The obligations assumed by the Ukrainian state by ratifying the association agreement between Ukraine and the European Union have become a reference point for transformations taking place in various spheres of public life, including local self-government. The article analyzes Ukraine's compliance with EU requirements regarding local self-government organisation, achievements in this field, and determining the prospects for reform. The analysis is grouped into four blocks: implementation of administrative and territorial reform; budget decentralisation; optimization of the organization of local public authorities (executive bodies formation of regional (oblast) and district (rayon) councils, the establishment of prefectures); land reform (transfer of land management to communities). The powers of local self-government bodies and state bodies were transformed in implementing municipal, territorial, fiscal and land reforms. However, further reforms are impossible without amendments to the Constitution of Ukraine (regarding the decentralisation of power), the adoption of new legislative acts (on the principles of the administrative-territorial structure of Ukraine, on prefectures), as well as amendments to some existing ones (on local self-government, etc.).