Metropolitan Governance

Democratising public administration through public-common partnerships: the case of the Citizen Assets Programme in Barcelona

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Marina Pera and Sonia Bussu

In a recent article titled Towards Democratisation of Public Administration:Public-Commons Partnerships in Barcelona, part of a Special issue on The International Journal of the Commons (edited by Dr Hendrik Wagenaar and Dr Koen Bartels), we explored public-commons partnerships in Barcelona through a relational lens, examining how they might be contributing to deeper democratisation of public administration.

The commons refer to those cultural and material resources collectively managed by the community and represent an alternative to both the state and the market. Recent literature emphasises the capacity of the commons’ prefigurative politics to develop alternative institutions to neoliberal regimes and/or deliberative and collective forms of resource management. The grassroots movements managing the commons often take an oppositional stance to the state, but they might also depend on its resources. By the same token, the state has an interest in supporting assets and services managed as commons, which offer flexibility and efficiency, while encouraging citizen participation in local politics.  

Within political contexts sympathetic to progressive socio-economic projects, such as  new municipalism in Barcelona, formalised alliances between the local state and the commons started to emerge, facilitating the development of novel policy instruments that respond better to the demands of the commons and open opportunities for more participatory policymaking. So-called public-common partnerships are long-term agreements based on cooperation between state actors and the commons members. In our paper, we wanted to understand better the relational work behind these partnerships and the role of boundary spanners that build bridges between two worlds, such as the state and the commons, which are often quite distant in terms of visions of local democracy and the language to articulate such visions.  We take the case of the Citizen Asset Programme (CAP) in Barcelona to explore the relationships between public officials and commons members, highlighting how these collaborations shape governance practices and can help foster a collaborative culture within public administration.

CAP was approved in 2016 and aims to create the institutional framework to recognise and support commons-managed municipal assets in the city. Based on qualitative analysis of interviews with public officials and commons members involved in the partnership, as well as official documents, we drew out insights on the relational dynamics that facilitated the creation of two policy instruments under CAP: The Community Balance Metrics and the Social Return on Investment of Can Batlló. The first one is a set of indicators to evaluate the performance of community-managed assets considering their transformative potential and including dimensions of internal democracy, care, inclusion, and environmental sustainability. The second helps to measure the value of activities and volunteer work carried out in the community centre of Can Batlló.

Through a series of vignettes depicting the different state and commons actors involved, we examined how they forged alliances and employed creative thinking to manage conflicts, resistance, and scepticism from both the local administration and the grassroots movements. Public officials from the Active Democracy Department were able to build trust among commons representatives by recognising their needs and potential. They explained the workings of public administration in a clear language. They created spaces of open-ended dialogue between grassroots movements and different departments to facilitate the development of policy instruments, measures and indicators that valued the commons’ innovative work, while still coherent with existing legal requirements. For instance, a working commission was set up involving members of Can Batlló, the Legal and the Heritage Department, as well as representatives of the District administration. This public-commons partnership developed a comprehensive agreement to regulate asset transfers, which fully recognises the social and economic value of the commons.

By the same token, the commons members played a crucial role in communicating to grassroots movements the work of the Active Democracy officials and build mutual trust. On the one hand, they helped the commons understand feasibility issues of their demands; on the other they pressed the public administration for greater transparency and creative interpretation of existing regulatory framework to strengthen democratic values underpinning asset transfer agreements.

Two cooperatives supported these partnerships as consultants. They contributed knowledge of innovative public policies from across the world. They also facilitated knowledge sharing to encourage cooperation between commons members and state institutions, for instance by inviting grassroots groups from other parts of the world to share their experience of working with the state.

The work of these public-commons partnerships is gradually reshaping the administrative culture and fostering more transparent and democratic working practices within the public administration. An example is the joint work to develop the Community Balance Metrics, which helps evaluate the performance of the commons using indicators agreed upon by both local public administration and the commons. However, these processes face a number of challenges, as they clash with established working routines and performance evaluations of public administrators that hardly ever value participatory work. Existing literature suggests that despite the introduction and encouragement of new practices, there is a tendency to revert to traditional policymaking methods when faced with unexpected problems. When boundary spanners that had supported the partnership exit the process, they can leave a vacuum that is hard to fill and that can jeopardise the partnership. In Barcelona, ongoing discussion between Can Batlló members and the City Council on who is responsible for funding the refurbishment of one of Can Batlló’s building is causing friction within the partnership and some of the work has stalled.

Inevitably this collaborative work is hard to sustain, but in the face of multiple and overlapping crises facing local government, these public-commons partnerships are also beginning to open safe space to experiment and do things differently.

Picture credit: Victoria Sánchez.

Sonia is an Associate Professor in INLOGOV. Her main research interests are participatory governance and democratic innovations, and creative and arts-based methods for research and public engagement. She led on projects on youth participation to influence mental health policy and services, coproduction of research on health and social care integration, models of local governance, and leadership styles within collaborative governance.

Marina is a researcher at Autonomous University of Barcelona (UAB). She holds a PhD in Public Policy from UAB and a M.A. in Sociology from Columbia University (New York). She has been a visiting scholar at CUNY Graduate Center (New York) and at INLOGOV, University of Birmingham. Her research interests
include community assets transfer, democratisation of public administration, community development and public-common partnerships.

Europe’s Largest Local Authority – It’s NUTS!

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Chris Game

It’s little consolation to the ‘powers that were’ in Birmingham Council House, but the past several months’ headlines about “Europe’s Largest Local Authority” going bankrupt have done wonders for my personal online social networking. From the BBC and Financial Times to the World Socialist International Trotskyists, that headline has made us Brummies suddenly globally famous as citizens of ELLA.

I’ve been emailed by erstwhile colleagues and ex-students I’ve not seen or heard from for years, now back home in Australia and South Africa, Japan and Kazakhstan, wanting to know whether Birmingham really is Europe’s Largest Local Authority – like it boasts on its Website Awards page – and, if so, why didn’t I make more of it while they were students here.

Yes, they’re curious about the bankruptcy bit, which I also have to try to explain, but it’s the ELLA boast that really fascinates them – because they recall their travels around Britain and Europe, and clearly blame me for their not having been able to boast about temporarily residing in the continent’s LLA.  The clever-dick ones even add, “What about Kent?” Or “Didn’t you say it was East Lindsey in Lincolnshire?”.

And they’re not wrong, of course. Take the real ‘biggies’.  In population, Kent is nowadays just one of the ‘Big 3’ of the 36 non-metropolitan or shire counties – its 1,858,000 fractionally behind Essex and Hampshire, and all roughly half as large again as Birmingham City Council’s 1.15 million. However, those counties’ local governments are, of course, two-tiered – counties and districts, each responsible for different functions and services. And – spoiler alert – it’s single-tier or unitary authorities, responsible for providing all principal local government services in an area, that count here. 

County councils provide services covering the whole county – education, adult social care, waste disposal, etc.  More local services, like refuse collection, environmental health, and leisure facilities, are provided – as I’d certainly have pointed out – by, in Kent’s case, 12 smaller district councils.

Sounds straightforward, doesn’t it?  In fact, it’s anything but, and, if you were a class of students, I’d have had to at least mention the bizarre distinctions between ceremonial and historic counties, Lord-lieutenants (Lords-Lieutenant?) and High Sheriffs. Suffice it here to stress that it’s the two-tier structure and the ‘county’ bit that bar these bodies from challenging Birmingham’s status as ‘Largest’.

We do, of course, have a West Midlands Combined Authority, headed currently by Mayor Andy Street, but that’s entirely different and its 18 local authorities cover a far larger regional area than the old West Midlands County Council that Margaret Thatcher abolished in 1986. It’s an increasingly important, and influential, regional and national voice, but definitely not a local authority.

And East Lindsey? I honestly can’t remember ever mentioning this.  If I did, I’d guess it was to encourage some overseas students to visit Skegness, as somewhere ‘different’ but inherently English and off the proverbial tourist track. It’s a pleasant seaside resort with a rather splendid clock tower – which tells the time, unlike, for apparently a further several weeks, the UoB’s Old Joe – that probably happened then to be the largest town in England’s geographically largest local government district – East Lindsey – and five or six times the area of Birmingham.

We’ve fully established, then, that Birmingham’s ‘Europe’s Largest Local Authority’ claim has nothing to do with either population or geographical size, but everything to do with the UK’s uniquely large-scale, or ‘non-local’, local government structure and the gradual disappearance of devolution to more local units of government.

Put another way, it’s a question of NUTS. Yes, there’s plenty about our local government system that doesn’t make much sense – not least its sheer non-localness – but here we’re actually talking about the Nomenclature of Territorial Units for Statistics, which both sounds better in the original French and produces an easily memorable acronym.  

It’s statistical shorthand for the EU’s hierarchical way of standardising the different ways in which the hugely varying EU states administratively structure their sub-central governments – regardless, if necessary, of the institutional reality. A statistical harmonisation exercise, therefore, rather than an aid to serious cross-national local government comparison.

The NUTS classification subdivides every member country into three principal levels, NUTS 1 to 3, to which large countries can add further levels by subdividing NUTS 3 into LAU (Local Administrative Units). Very roughly, then, the currently 92 NUTS 1s are major socio-economic regions or groups of regions of relatively larger states – Germany’s 16 Länder, France’s 14 Régions, Poland’s 7 Makroregiony. And the UK, were we still EU members, would have 12: West Midlands and the eight other English regions, plus Scotland, Wales and Northern Ireland.

The 240 NUTS 2s are basic regions or regional groupings for the application of regional policies – Austrian Bundesländer, Belgian, Dutch and France’s former Provinces – and in the UK 40 conveniently grouped counties, London ‘districts’, and in the West Midlands its seven boroughs.

The 1,164 NUTS 3s tend to be sub-divisions of regions, provinces, counties, or groupings of municipalities for specific purposes, rather than individual local authorities. But such is the UK’s exceptional non-local scale that it takes nearly one-sixth of that total (174), with many councils qualifying for their own, including all seven West Midlands boroughs.

Even forgetting the UK’s large slice, that 1,164 doesn’t sound that many for a whole continent, does it?  Hence those Local Administrative Units – over 92,000 of them which constitute the overwhelmingly biggest columns in the main NUTS table. In our case LAU 4s would be the upper tiers of our traditionally two-tier system of county and district councils, and LAU 5s the lower tiers – or, rather, would have been, the two levels having since been merged.

I hate that LAU term. It’s misleading bureaucratese: a seriously disparaging label for what most European countries’ residents would first think of when asked to identify their elected local governments. To pick some examples: France’s LAU 4s were/are its nearly 35,000 Communes, Germany’s its 10,775 Gemeinden, Italy and Spain their 8,000 Comuni and Municipios – with, obviously, what we would consider mostly modest-sized populations to match.

At which point I admit my age and recall Mr Spock’s immortal response to Star Trek’s Captain Kirk: “It’s life, Jim, but not as we know it”. And yes, I know it was from a later song, rather than the TV series, but it fits. Because for a Brit those sizeable NUTS/LAU numbers could easily be described as representing “Real Local Government, Jim, but not as we know it.”

Chris Game is an INLOGOV Associate, and Visiting Professor at Kwansei Gakuin University, Osaka, Japan.  He is joint-author (with Professor David Wilson) of the successive editions of Local Government in the United Kingdom, and a regular columnist for The Birmingham Post.

Photo credit: Mac McCreery https://www.flickr.com/photos/simac/

Empowering Local Voices: Unveiling the Role of Councillors in European Governance

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Dr Thom Oliver

In the intricate tapestry of European local governance, local councillors stand as pivotal figures, linking citizens to decision-making processes that shape their daily lives. Their interactions within communities, councils, and broader public administration are the bedrock of modern democracy. Last week, alongside colleagues from the University of Bristol, Cardiff University, and Ghent University, we embarked on an ambitious endeavour: an email survey reaching over 19,100 councillors across England, Scotland, Wales, and Northern Ireland.

The survey is part of a broader European effort, with a single shared survey being rolled out with spans twenty-eight European countries driven by a broad collaboration of academics emerges from extensive international research network dedicated to conducting surveys with local political actors to understand local and national political dynamics. Over two decades their comparative work has shed light on the councillor, council leader and mayor roles of local government, administrative intricacies, civic cultures, and political practices across Europe, enriching both academic and practical understanding.

Our latest research now refocuses on local councillors, probing fundamental questions about democracy, their perceptions of their roles, views on local government, challenges within the institutional environment, and policy priorities. The survey also aims to understand councillors’ experiences with aggression and abuse and the influence of such encounters on their council activities and public engagement.

But this survey is more than just academic curiosity; it’s about amplifying the voices of local representatives. Councillors are the conduits between citizens and power, entrusted with articulating community aspirations and championing collective interests. They face mounting external pressures—from austerity to centralisation—and grapple with balancing economic growth, development, and environmental concerns, alongside the existential threat of rising social care costs as more and more councils face financial distress.

Unlike previous paper-based iterations, this survey employs electronic questionnaires sent to individual councillors across England, Wales, Scotland, and Northern Ireland, with the survey lasting around 15 minutes, we are keen that councillors both start and finish the survey, so have enabled them to complete it over multiple sittings if required via simply clicking on the email invitation.

As the survey unfolds across 28 countries, we urge councillors to join the dialogue and lend their voices to the study. Personalised emails have been sent directly to councillors’ inboxes, and follow-ups will continue over the coming month. Any councillors unable to access the survey can reach out to the project team using the contact details provided below.

We are calling on all councillors to check their inbox for our survey! Your voices are crucial to use better understanding the challenges and priorities in your role. This is the first time we have delivered the survey across England, Scotland, Wales, and Northern Ireland so we are really keen to ensure that all voices are represented across political parties, different tiers of local government, and geographies. Let’s ensure all your voices are heard loud and clear.

Dr Thom Oliver is a Senior Lecturer in Politics at the University of the West of England, Bristol. Thom completed his PhD at INLOGOV in 2011. Along with Dr David Sweeting (Bristol), Prof Colin Copus (Gent), and Dr Bettina Petersohn (Cardiff), he is leading the Return of the Councillors study in England, Wales, Scotland, and Northern Ireland. Thom leads the Qualitative Election Study of Britain, and is a co-investigator on the Bristol Civic Leadership Project.

Zilch for timing, but this Resolution Foundation report is important

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Chris Game and Jason Lowther

If you wanted some serious reader attention for something West Midlands local governmenty, you really, really wouldn’t have chosen this past November. The war in Gaza was seriously hotting up, there were the COP 28 talks in Dubai, Christmas was coming, and Aston Villa were en route to becoming the Premier League’s “foremost home team”, whatever precisely that means.

Serious distractions, but competition for headlines was only part of the challenge facing the Resolution Foundation’s early November release of its In Place of Centralisation report setting out a proposed and far-reaching Devolution Deal for London, Greater Manchester, and the West Midlands. There were other diversions and potential confusions too.

It was barely a month since Birmingham City Council – the principal West Midlands local authority involved in this proposed ‘Devo Deal’ – had issued not one but two Section 114 notices, reportedly declaring itself doubly “bankrupt”, unable to meet the Council’s financial liabilities relating to Equal Pay claims and an in-year financial gap within its budget, and handing over its governance to Communities Secretary Michael Gove’s appointed Commissioners.

And, if that wasn’t potentially complicating enough – for those directly affected as well as onlookers – in that same previous month representatives of the West Midlands Combined Authority (WMCA) had ratified the “Deeper Devolution” aka “Trailblazer” deal announced in the Chancellor’s March Budget.

That deal, comparable to that agreed by Greater Manchester back in March, but relatively little of which we’d heard in the meantime, would devolve more powers to ‘Metro-Mayor’ Andy Street (or, given the May Mayoral elections, potentially his successor), the 30 WM local authorities (7 met boroughs, 4 unitaries, 19 districts) and their 6 million population, and simplify funding arrangements, with £1.5 billion to spend on long-term infrastructure projects and services such as transport, skills, housing and regeneration.  A key element is a single block grant negotiated with the Government, like a central government department, as part of next year’s Spending Review.

Key ‘highlights’ include:

  • A ‘landmark’ housing deal worth up to £500 million, offering greater flexibility to drive brownfield regeneration and funding to deliver “affordable housing at pace”;
  • Greater control over local finance, including retention of an estimated annual £45 million of business rates for the next decade [hold on to that version of ‘local financial control’!];
  • Up to six ‘levelling up zones”, backed by £25-year business rate retention, with an estimate total value of at least £500 million, to target investment and encourage regeneration in areas agreed with the Government;
  • Measures to tackle digital exclusion, including greater influence over high-speed broadband investment across the region and a £4 million fund to get more people online.

In anywhere other than one of the most centralised governmental systems in the developed world, describing this package as ‘trailblazing’ would be wildly OTT. Here, though, it was rightly welcomed as constituting serious devolutionary progress, and Mayor Street, not surprisingly, was enthusiastic, seeing it as “marking the beginning of the end of … the ‘begging bowl culture’ where we must regularly submit bids for various pots of money on a piecemeal basis.”

Here’s the thing, though – well, two things, actually. First, the really rather big thing. The leading West Midlands council in this new ‘Trailblazer’ era is currently, following the issuing of those Section 114 notices, (a) in severe financial straits, and (b) being run until quite possibly 2028 not by elected councillors, but by Lead Commissioner Max Caller, his associate commissioners and political advisors – none of whom have ‘Trailblazing’ as a core part of their brief.

The second and, in Birmingham’s current circumstances, almost other-worldly thing, is the Resolution Foundation’s In Place of Centralisation report which is, incidentally, not the first RF report to be covered in these pages. It’s other-worldly too in the sense that it’s just one, albeit important, product of a bigger, wider-ranging academic project: The Economy 2030 Inquiry – a Nuffield Foundation-funded collaboration between the Resolution Foundation, an independent think-tank, and the LSE’s Centre for Economic Performance.

UK economic growth is their primary project – not boosting local democracy – one persistent obstacle to the attainment of which they identify as “the decades of underperformance of the big cities of Manchester, Birmingham, and more recently London” – the key cause being, they reckon, the centralisation of the British state. No startling news to INLOGOV blog readers, but a contrasting starting point to, say, that of the authors of Trailblazer deals, and their prescriptions go a good deal further.

They start (p.4), unsurprisingly, from a different array of statistics, demonstrating the extreme centralisation of the British state.

Only 5 per cent of the UK’s tax revenues in 2019 were collected by local    government, compared to 14 per cent in France, 23 per cent in Japan, and 35 per cent in Sweden. Accordingly, local government relies on grant funding, with only 19 per cent of all local spending in the UK funded locally, compared to 37 per cent in the average OECD unitary state.

They concede that “recent advances in devolution have begun to unwind this”, but, following a decade of austerity, significantly further fiscal devolution is required to improve growth without increasing inequality – in the form of a ‘triple deal’ negotiated between the Government and the Mayors of Greater Manchester, the West Midlands, and London as a trio, going “beyond the recent ‘trailblazer’ deals” and into which other mayors would be able to opt in the future.

The core of the triple deal would be fiscal devolution, “which would help to end the centrally-imposed local government funding crisis for the three cities by widening the local tax base, and resourcing improvements in the local economy.” Everyone would be a winner – the mayors, borough and Exchequer all benefiting from a new revenue-neutral fiscal settlement, including (pp.4-5):

  • A local share of income tax receipts, with Greater Manchester and West Midlands keeping a larger share than London;
  • Complete retention of business rates, and control over the ‘multiplier’;
  • A single grant to the mayors distributed on a per person basis;
  • The ability for mayors to reform council tax.

It would then be up to the mayors, in negotiation with the boroughs, to distribute this revenue across local government’s various responsibilities across their city. And in the medium-term?

Well, big IF … but the higher growth in the three cities that would be “likely”, if this fiscal devolution were accompanied by other policy changes, would then translate into higher local tax revenues for the mayors – with, by 2038, Greater Manchester raising between £49 million and £230 million, and the West Midlands between £40 million and £187 million beyond their current level of funding.

That was from p.5 of what is a 64-page report, so there’s a very great deal more explanation and explication. But the key, and hopefully obvious, point of this blog is to enable you, if it crops up in conversation, to disabuse anyone of the notion that the Resolution Foundation’s contribution to this debate is just ‘Trailblazer deals’ writ large.

Our view is that the current local government finance system is bust. Business rates penalise high street shops, the council tax is regressive with hopelessly outdated valuations, and councils spend too much energy chasing central government largesse through competitive funding pots.  Democratically elected councils rely on a begging bowl and lack basic revenue raising powers that are commonplace internationally.  We will be saying more on this as the General Election approaches…

Chris Game is an INLOGOV Associate, and Visiting Professor at Kwansei Gakuin University, Osaka, Japan.  He is joint-author (with Professor David Wilson) of the successive editions of Local Government in the United Kingdom, and a regular columnist for The Birmingham Post.

Jason Lowther is Director of the Institute for Local Government Studies (INLOGOV) and Head of the Department of Public Administration and Policy at the University of Birmingham.

The value and necessity of our green spaces and natural assets

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Rebekah Roebuck

Witton Lakes, Stockland Green, Birmingham: Photo by Tom Roebuck

Open spaces, whether green spaces (e.g. parks or forests), blue spaces (e.g. canals or rivers) or grey spaces (e.g. urban squares) have long been understood to be of great importance and value to society. Be it the creation of the Porticus Pompeiana in Ancient Rome or the wider opening of the Royal Parks to the public in the UK throughout the 1800s, the connection between open spaces and society’s wellbeing is complex but enduring. However, with the increase in financial precarity across local government, their status and quality may be at risk. This blog emphasizes the value of citizen relationships with open spaces using flash ethnographic research from four cities across the world, including the role of community organisations before considering potential impacts of local government finances for green spaces in Birmingham.

Norval Foundation, Cape Town, South Africa: Photo by Lauren Richards

Open spaces entail a wide range of places, including recreational facilities, public parks, heritage sites, beaches, and public squares. On an individual level, citizens around the world connect with local open spaces for a variety of often highly contextual and personal reasons. Open spaces can be places where people connect with heritage, with art and culture, developing a sense of self and connecting with the environment they live in. They are spaces we might use alone but can also act as hubs for community building and socializing.  We may choose to visit a park for a few hours, stay at a beach all day, or simply sit outside in public squares during lunch breaks.

Central Business District, Nairobi, Kenya: Photo by Saina Kiprotich

Some of our open spaces are treasured and achieve status such as becoming a UNESCO world heritage site. One such example is in Morocco, where Chellah, an ancient archaeological site and fortified necropolis, is listed and protected by the Moroccan authorities, and well maintained so visitors can feel safe and secure while enjoying the natural beauty and historical significance of the area. The standard, cleanliness and perceived safety of an open space impacts the desire of local residents to use it. In many places, including Birmingham, Nairobi and Cape Town, the standard of open spaces varies significantly, with more affluent neighbourhoods often having better maintained spaces

but some are simply ‘left behind’, neglected, or subject to fly tipping or dumping, causing visual pollution, and spoiling open spaces.

Chellah, Rabat, Morocco: Photo by Ilias Defaa

This lack of equality around green space access is well recognised by Birmingham City Council, who have a 25-year City of Nature Plan, with an ambition to be recognised as a city of nature, with the Birmingham Future Parks Accelerator Project developing an environmental justice map of the city by ward with ‘access to green space’ comprising one of the factors that generates the score, the first local authority in the UK to develop a tool to measure environmental justice.

The relationship we have today with our open spaces is gaining focus both here in the UK and globally. Increased attention to climate change, the importance of biodiversity and the value of open spaces as assets which can help with climate mitigation and adaptation is growing, alongside the intrinsic benefits to local people and communities.

However, despite this growing recognition, and plans such as the BCC City of Nature Plan and the West Midlands Combined Authority (WMCA)’s five year Natural Environment Plan, funding for parks in the UK has been cut significantly. The State of UK Public Parks 2021 report published by the Association for Public Service Excellence (APSE) found that the UK has lost a total of £690 million funding for parks between 2011-2021, providing ‘woefully inadequate’ funding for local authorities.

Community groups, such as in Birmingham, often provide support voluntarily alongside accessing grants not available directly to local authorities to improve and develop the space for use. Birmingham Open Spaces Forum coordinate and support the 130+ ‘Friends of’ and other community groups across Birmingham that caretake and protect not only those spaces that seem traditional to open spaces; parks, fields and gardens, but also litter pick in the streets, and maintain other smaller patches of ‘green’, which some may overlook, but are of equal importance. Cotteridge Park in the south of the city provides a gold star, ‘Green Flag’ awarded example of the success possible with volunteers.

‘The Shed’ at Cotteridge Park, Birmingham: Photo by Rebekah Roebuck

The value of open spaces is not always easy to quantify. However, under the concept of natural capital, there is an increasing drive to define a financial value on the services provided. Birmingham’s 600 blue and green spaces (over 4,700 hectares (47 Km2), not to mention the famed ‘more miles of canals than Venice’), is estimated by Birmingham Future Parks Accelerator to be worth around £11 billion, with £4 billion linked directly to the wellbeing of its residents.

In the light of Birmingham City Council’s proposed service cuts, including city operations which includes responsibilities for parks, the role that community groups play in the protection, maintenance and guardianship of our green spaces feels even more critical. BOSF are backing the ‘Save Birmingham’ Campaign, formed in response to concern about the prospect of a ‘fire sale’ of vital spaces. They are asking local residents to nominate spaces and other facilities as an “asset of community value”, to demonstrate the public support for these and with a view to potentially developing further co-operative solutions for spaces in the future.

Be it simply the reduction in servicing and maintaining our parks, to the more serious prospect of the selling off or repurposing of open space assets, it seems likely that despite the recognition of the growing necessity to protect these open spaces, they may be at risk. To achieve environmental justice and equality of access to open spaces in Birmingham, how parks are funded, maintained, and improved must remain a focus for local government.

Rebekah Roebuck is undertaking a PhD on the governance of energy decarbonisation in the Department of Public Administration and Policy at the University of Birmingham. She is also interested in environmental justice, disability rights and community engagement. She can be contacted at [email protected]

https://www.linkedin.com/in/rebekah-roebuck/

This blog derives from a longer blog on Open Spaces and Mobility published for the University of Birmingham developed via a EUniWell project focused on international collaboration, written by the author alongside Ilias Defaa, Lauren Richards, Nana Amponsah and Saina Kiprotich.

Beyond the Numbers: A Holistic Approach to Section 114 Notices in English Local Government

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Dr Philip Whiteman

In English local government, the issuance of a section 114 notice is often perceived as a dire financial omen, signalling a council’s descent into insolvency. While financial stability is undoubtedly a cornerstone of effective governance, it is crucial to recognize that section 114 notices reveal more than just a precarious financial situation. They serve as a beacon, illuminating underlying issues that extend beyond the confines of spreadsheets and budget projections. Either way, the government’s Department of Levelling Up, Housing and Communities (DeLUHC) tends to respond with intervention and the imposition of commissioners to direct the authorities concerned.

The poor financial position of many authorities may be the direct result of years of underfunding by central government and we can expect many more councils to serve section 114 notices, but it would be improvident to assume there are no further underlying causes.

Nottingham City Council’s recent declaration of a section 114 is a clear indication that some authorities are simply folding due to a broken funding formula, but this is not the sole cause of failure in all cases. When looking at other authorities, alternative underlying causes are present. Further examples include:

  • The BBC Panorama programme highlighted how Thurrock Council was rendered bankrupt following a series failed investments in a solar farm, highlighting disastrous procurement practices, lack of accountability, poor governance, and inappropriate delegations to officers.
  • Birmingham City Council’s problems did not emerge overnight and were a culmination of challenges created by a historic equal pay-claim and botched procurement a new IT system, Oracle. Underpinning this was poor financial planning, governance, accountability, and a failing internal culture.
  • Woking Borough Council racked up a deficit of £1.2bn following the building and acquisition of major property portfolio. Against these investments, the authority had acquired loans from the Public Works Loan Board and other local authorities, accumulating debts that it could not service.
  • Liverpool City Council’s woes are not confined to finances. Government commissioners were appointed to Liverpool City Council in June 2021 following a damning Best Value inspection by Max Caller CBE on matters pertaining to poor leadership, unacceptable performance, poor resource management and a failure to engage with citizens.

Government appointed commissioners tasked with overseeing councils in financial distress must adopt a holistic approach, venturing beyond the immediate financial crisis to uncover the root causes of the council’s predicament. This requires a comprehensive examination of the council’s structural framework, external environment, performance management and internal governance practices.

Structural Challenges: A Precarious Foundation

English local governments face a unique set of structural challenges that can hinder financial stability. The relentless rise in service demands, coupled with a funding system that often fails to keep pace, places immense pressure on council budgets. This mismatch between resources and responsibilities can lead to a cycle of overspending and financial strain.

Commissioners must delve into the council’s structural framework, assessing whether the current allocation of resources aligns with the council’s responsibilities. They must also evaluate the effectiveness of the council’s revenue-generating strategies, ensuring they are maximizing their income potential without overburdening residents.

External Factors: Navigating Turbulent Waters

Local governments are not immune to the vicissitudes of the external environment. Economic downturns, shifts in government policies, and natural disasters can all have a profound impact on a council’s finances. Commissioners must assess the council’s vulnerability to these external factors, evaluating its risk management strategies and identifying potential contingencies.

Internal Governance: Cultivating a Culture of Accountability

While structural challenges and external factors can undoubtedly contribute to financial distress, internal governance failures often play a pivotal role. Poor financial planning, inadequate risk assessment, and a lack of transparency and accountability can erode a council’s financial stability.

Commissioners must scrutinize the council’s internal governance practices, ensuring that financial decision-making is sound, risks are appropriately assessed, and accountability is firmly established. They must also foster a culture of transparency, empowering residents to hold their council accountable for its financial stewardship.

A Holistic Approach: Beyond the Financial Storm

In the aftermath of a section 114 notice, commissioners must resist the temptation to focus solely on immediate financial stabilization measures. Instead, they must adopt a holistic approach, addressing the underlying structural, external, and governance issues that contributed to the council’s financial crisis.

By adopting a comprehensive view, commissioners can guide councils towards long-term financial stability, enabling them to deliver essential services to their communities without succumbing to the pressures of insolvency. Only by addressing the root causes of financial distress can we ensure that section 114 notices no longer serve as mere harbingers of financial doom, but rather as catalysts for positive transformation.

Speculating on further interventions

Speculation is precisely that. Estimates vary widely in terms of how many further councils are anticipated declare section 114 notices, but a clear signal of further failures exists:

  • In July 2023, ITV News cited a leaked DeLUHC document which estimated at least 26 bankruptcies over the next two years.
  • The Institute of Government has estimated that 10% of councils are at risk over the next two years.
  • The Special Interest Group of Municipal Authorities (SIGOMA), a representative body for 47 municipal authorities, published a survey in June 2023 which showed that five of their members were at risk.
  • A Local Government Association Survey conducted in November 2023 revealed that almost one in five local authority leaders and chief executives believe that their authority may have to declare a section 114 notice.

Whilst estimates vary, there is evidence that further authorities will become vulnerable to government intervention via the imposition of DELUHP appointed commissioners.  This raises a final question; can the predicted number of authorities realistically be serviced?