The Free City of Leamouth has a unique political status of a parliamentary republic with an executive lord mayoralty. It is a representative democracy with universal suffrage. It has an unusual system of governance for a sovereign country as the city-state is governed at a municipal and central level. The Constitution of Leamouth, the supreme law of Leamouth, was adopted on 8 April 2020, few days after the proclamation. The Lord Mayor, currently Joe Budd, who heads the 17-member unicameral City-State Council, is both head of state and head of government and is dependent on the City-State Council's confidence to remain the Lord Mayor. The City-State Council is elected every four years. The City-State Council elects the Lord Mayor from its members, and the Lord Mayor appoints a cabinet of five to six members.

The government is composed of three branches:

• Cabinet:  The Lord Mayor is responsible for enforcing national law, and appoints Cabinet members. Acting with the Cabinet, the Lord Mayor can propose new bills, issue subordinate legislation, and has authority to dissolve the legislature. In states of emergency or public danger, the Lord Mayor is further empowered to enact any regulation necessary to restore public order.       
• Legislature:  The unicameral City-State Council enacts national law, approves budgets, and has the power to impeach a sitting Lord Mayor.  
• Judiciary:  The Supreme Court, Court of Appeal and lower courts interpret laws and overturn those inconsistent with the constitution. Judges are appointed by the Lord Mayor on the advice of a recommendation commission.

The cabinet is traditionally drawn from members of the Lord Mayor's party or coalition and from the City-State Council, which the cabinet being responsible to. The Lord Mayor and the Cabinet may be removed by the City-State Council by a motion of no confidence if necessary. A general election must be called no later than four years after the previous election. Almost all general elections since the establishment of the city-state were held under the first-past-the-post voting system.

On the municipal level, the government provides a full range of services including tax billing, libraries, social services, social housing, processing planning applications, licensing, economic development, waste collection and disposal, police and fire, hospitals and paramedics, and it also has an education authority.

Leamouth has a common law legal system with a written constitution that provides for a parliamentary democracy. The court system consists of the Supreme Court, the Court of Appeal, the High Court and the Circuit Court, all of which apply the Law of Leamouth and hear both civil and criminal matters. Trials for serious offenses must usually be held before a jury. The High Court, Court of Appeal and the Supreme Court have authority, by means of judicial review, to determine the compatibility of laws and activities of other institutions of the state with the constitution and the law. Except in exceptional circumstances, court hearings must occur in public.

Cabinet