Local Government Studies

‘The Great Parliamentary Resistance’ – some of the outcomes

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Chris Game

Back in early February, I wrote a blog dissecting one of two big and controversial Government Bills involved in what I slightly hyperbolically termed the “historic Monday evening of the Great Parliamentary Resistance” – Monday, 17th January, when the Elections Bill received its Third Commons Reading, while across the way the Lords were savaging the ‘flagship’ Police, Crime, Sentencing and Courts Bill by defeating the Government a Parliamentary record 14 times in the same sitting[1].

Both Bills, in being big and controversial, were fiercely contested throughout their Parliamentary progress and significantly amended – to the extent that my initial idea of highlighting and summarising such amendments in two linked blogs in, say, February and March, proved ludicrously unrealisable. Not least because neither received their Royal Assent until 28th April.

On the ball, as ever, Jason Lowther blogged immediately about the particular aspects of the now Elections Act with which he had been particularly concerned – the Government’s ‘solution’ to the undemonstrated ‘problem’ of ‘personation’, of having in future to show counter-signed photo ID at UK Parliamentary and English local and PCC elections.

This single blog, therefore, will attempt two ludicrously daunting tasks: (a) to at least mention some of the additional, less publicised, measures in or out of the Elections Act, and (b) similarly, but even more summarily, for the considerably more complex Police, Crime etc. Act.

There were two key and particularly controversial Elections Act proposals, that went down to the proverbial wire at the so-called Ping pong stage of the Parliamentary process (pp.79ff. of the H/Commons Library briefing noted by Jason).

First, obviously, the several proposed age-discriminatory and non-photographic forms of ID that had been in and out of the Bill throughout – mentioned again here frankly as a pretext for reminding anyone who needs it of just how long and how implacably opposed the PM himself has been to ID cards of any description, and accordingly what we can presumably look out for come Election Day.

election1

The other long-running dispute concerned the Act’s provision for the Government to set a “strategy and policy statement” for the constitutionally independent Electoral Commission.  Some suspicious Parliamentarians suggested this might go beyond scrutiny and accountability, and “potentially into providing guidance about how [the Commission carries out its] functions on a day-to-day basis”.

They wanted it “not bound by” the Government’s “statement”, but apparently they were guilty of a “mischaracterisation” of the Government’s intentions, and the relevant amendments were defeated.

The Government’s listing of the Act’s additional benefits appears, of course, on the relevant Gov.UK page – summarised under the comfort blanket of the several “greater protections” it provides for voters, and also for candidates and campaigners.

Protection from fraud through photo ID, of course, but also from intimidation at the ballot box – the latter by fines, up to 5-year bans, and even imprisonment for offenders convicted of attempting an extended definition of ‘undue influence’.

Voters with disabilities must in future be provided with specialist equipment, and may be accompanied by an adult.  And the 15-year limit on the voting rights of British ex-pats, retired or working abroad, will be removed. An estimated 3 million potential voters are currently affected by the limit, and – read into this what you will – it fulfils a pledge in three recent Conservative manifestos.

Finally – although it was actually the first bit of the legislation I blogged about, back last April – the Act will change the voting system for both Mayoral and Police & Crime Commissioner elections from the ‘transferable’/choice-extending Supplementary Vote to First Past The Post – on the basis of “no other plausible argument” than it might fractionally reduce the numbers of rejected ballots”.

I have views – as doubtless do Mayors Tracy Brabin (Lab – West Yorkshire), Ben Houchen (Cons – Tees Valley) and Andy Burnham (Lab – Greater Manchester), all recently elected after transfers – but not here.

And so to the Police, Crime, Sentencing and Courts Act – a real pantechnicon of a Bill/Act, highly technical in places, with even the ‘short’ and definitely the ‘long’ (150-word) titles signalling how impossible it is seriously to summarise.

It makes major changes across the criminal justice system, significantly extending police powers and the treatment of suspected, arrested, charged and convicted offenders. Again, there is a substantial (100+ pages) Commons Library summary of the whole legislative process; also a detailed House of Lords account – presented, slightly disconcertingly, in reverse chronological order – covering the fate of at least some of the Lords’ 17th Jan. amendments.

I was never keen on listing Wiki on student reading lists, but in this case I might well make an exception.  For this blog, though, I have borrowed (sounds so much better than plagiarised!) the content of the next few paragraphs from the BBC’s summary –mainly because it focuses, as many of those Lords motions did, on the implications for and threats to the right to protest.

Until now, it has generally been the police’s responsibility, if they want to restrict a protest, to show it may result in “serious public disorder, property damage, or disruption to the life of the community” (emphasis added). They can also change/restrict the routes of marches. For major events, like the COP26 protests, details are typically agreed with the organisers weeks in advance.

The new Act enables particular measures to be designed for ‘static protests’, like those of Extinction Rebellion, whose modus operandi is to force governmental action on the “climate and ecological emergency” through non-violent civil disobedience, the occupation of roads and bridges, etc.  Start and finish times and noise limits will now be set, even for protests involving just one person, with fines up to £2,500.

Edward Colston, the C18th merchant/slave trader whose statue was pushed into Bristol docks gets his own clause, with damage to memorials earning up to 10 years’ imprisonment.

Shadow Home Secretary Yvette Cooper has described the “rushed” legislation as creating “incredibly widely drawn” powers …”, allowing the police to stop and search anyone in the vicinity of a protest, including passers-by, people on the way to work and peaceful protesters.”

The Government/Home Office/Police viewpoint is set out in a Home Office Policy Paper.

[1] It appeared on 4th February, at the start of what proved a particularly active blogging month, with the consequence that, to access it, you may need to key ‘Older Posts’ at the end of the February 2022 selection.

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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.

After austerity, comes the reckoning

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Jason Lowther

The publication last month of the Institute for Government’s report on the impact of cuts in local services during the decade of austerity has revealed to the public what has been obvious in the sector for years – austerity was hugely unfair and hit the poorest hardest. 

Neighbourhood services under strain is written in IfG’s usual forensic style, and its conclusion is all the more brutal because of it: the most deprived areas received the biggest grant cuts, resulting in bigger reductions in local services such as libraries and recycling.  Central government grants were cut more in deprived areas because of the way cuts to grant funding were distributed ignoring councils’ different degree of dependency on this income source.  Because of the central cuts and pressures such as the increasing demand for social services, councils have been forced to cut preventative and universal services like children’s centres and housing programmes to help vulnerable people to live independently.

The report’s detailed analysis of changes in spending reported to DHCLG concludes that most councils chose to protect similar services.  ‘Relatively protected’ services included environment and regulatory services, homelessness and public transport.  At the other extreme, most councils applied higher than average spending cuts in housing, cultural, and planning services (figure 1 below).  This mirrors earlier analysis by the National Audit Office (which also highlighted the protection of social care services).

Figure 1: Local authorities that disproportionately cut, relatively protected, or increased neighbourhood services spending between 2009/10 and 2019/20, by category

Source: Institute for Government analysis of DLUHC, Local authority revenue expenditure and financing in England: individual local authority data – revenue outturn 2009/10 and 2019/20.

The IfG report hints at the innovative ways different councils responded to these pressures, from contract renegotiation and the use of new technology, to service redesign and rationalisation.  For a more detailed exploration of this, I recommend Alison Gardner’s excellent thesis on how local councils responded to austerity – including strategic asset management, shared services, commercialisation, co-production and demand management.  Whatever methods were used, however, it’s clear that by the second half of the decade of austerity the cuts were no longer into ‘fat’ but into ‘flesh’.

These new findings add to a growing library of research on the effects of the UK government choice to pursue austerity policies, including a BMJ study in October 2021 which suggested that the constraints on health and social care spend during this period of ‘austerity’ have been associated with 57,550 more deaths than would have been expected had the growth in spend followed trends before 2010.  Considering cuts to local government funding specifically, a July 2021 study in The Lancet estimated that cuts in funding were associated with an increase in the gap in life expectancy between the most and least deprived quintiles by 3% for men and 4% for women between 2013 and 2017. Overall reductions in local government funding during this period were associated with an additional 9,600 deaths in people younger than 75 years in England. Well before the pandemic, the UK was seeing a rapid slowdown in life expectancy gains in the 2010s and, although a number of other high income countries also saw such slowdowns, of large populations only the USA experienced a more severe slowdown/reversal and the magnitude of the slowdown in the UK was more severe than other large European populations.

Perhaps the most damning finding of the IfG report is that central government lacks the information to know what the impact of its spending cuts are on local services.  This echoes the assessment of the Nuffield Trust and Health Foundation back in 2014 which warned government was making decisions with ‘no comprehensive way to quantify the impact that social care cuts are having on their health and wellbeing’ and were therefore effectively ‘flying blind’.  Having abolished the Audit Commission in 2010, the government was left with no comparable performance statistics for two-thirds of local services.  Some may believe that this was quite convenient, given what we are now learning about the effects of that government’s spending policies.

80% of councils directly involved (again) in delivering housing

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Chris Game

If you’re an academic – either a genuine intellectual, theorising one, or a more lecturing, popularising one like what I was – there’s a good chance that the week before Easter is Conference Week.

It’s easy to mock, and knock, academic conferences. Too many delegates reading, rather than ‘presenting’, their papers; no time for proper interrogation, discussion and debate; mediocre university campus food. And for overseas conferences, add in climate threatening CO₂ emissions.

However, I like them – conferences, that is.  Indeed, this recent Easter week I racked up a full half-century of attending, at least intermittently, PSA (Political Studies Association) conferences.

Like most such events nowadays, this one was ‘hybrid’ – with panels attended partly in person, partly digitally via Zoom. Which makes genuine discussion additionally problematic, and emphasises the importance of the written papers addressing subjects that ideally are appealing, topical and even newsworthy.

Happily, in the Local Politics Specialist Group this is almost the norm. And this year one paper especially – in addition, obviously, to that of the INLOGOV’s Director, Jason Lowther (from ‘Birminham’, according to p.25 of the evidently un-proof-checked programme!) – struck me as both sufficiently important and timely to bring it to the attention of a couple of slightly wider audiences⃰.

Timely because we’re fast approaching the May 5th local council elections, and, if these councils’ controlling parties choose to draw voters’ attention to it, many could boast something they might well not have been able to even four years ago when these same seats were last collectively contested.

Specifically, over four in every five should be able to claim that they are genuinely and actively involved in the business of delivering social housing.  And if that doesn’t grab you, or you’re thinking: “well, isn’t that one of the main things councils are supposed to do?” – or maybe, as a Birmingham resident, you’ve heard of the 4,000+ homes built by the Birmingham Municipal Housing Trust, the City Council’s housebuilding arm, and assume that it’s fairly typical, rather than really exceptional – then I politely suggest you’ve rather lost the plot in recent years.

When I used to lecture to particularly overseas students about housing in England or the UK, I would use a couple of very basic graphs, similar to those illustrated here. The first showed the changing relative importance of our main housing tenures since 1919 – private rented, owner occupied, local authority, and housing association.

Tenure1

At the end of the First World War, the ‘big picture’ was straightforward: roughly 90% of housing stock was privately rented, 10% owner occupied. Councils were empowered to build ‘corporation housing’, but few did.  But the War changed everything. PM Lloyd George promised not just houses, but “Homes Fit for Heroes’, and the 1919 Addison (Housing, Town Planning, &c.) Act facilitated it. Council housing committees sprung up, generous subsidies were provided, and council estates mushroomed.

By 1939 over 10% of the population lived in council homes, and the numbers increased steadily post-war, with the Labour Government’s Town and Country Planning and New Towns Acts. At their 1950s peak, under Conservative Governments, councils were building nearly 200,000 houses a year – one completion every three minutes, if you were wondering.

By the 1970s over a third of England’s housing stock was ‘council’. Private renting had plummeted to below 20%, with owner occupation over 50% and rising, and housing associations just beginning to take off.

The 1980s Thatcher Governments’ priorities, though, were very different: a “property-owning democracy”, with successive ‘Right to Buy’ policies – requiring, rather than allowing, councils to sell off their housing stock, if tenants, particularly of larger, better-quality properties, wished to purchase.

Coupled with Treasury restrictions on councils borrowing money for capital expenditure, there began the long-term shift from council housing to housing associations or ALMOs (Arm’s-Length Management Organisations): from 7% of all social housing in 1980 to over 60% today, including virtually all new social housing.

On my second graph, of ‘Housebuilding Completions’ – albeit scaled for dramatic effect – the local authority line by the mid-1990s was barely distinguishable from the horizontal x-axis. Council house building on any significant scale virtually stopped, new homes countable in the hundreds, rather than hundreds of thousands – until, if you peer extremely closely, you can just see the space between line and axis opening up in 2018.

Housebuilding

Sales meanwhile averaged well over 100,000 a year, re-boosted by increased discounts from the Coalition Government following the 2007/8 financial crisis. That same Coalition – or its Treasury – also imposed tightly restrictive ‘caps’ on councils’ ability to borrow against their own Housing Revenue Accounts in order to build affordable homes.

True, the 2011 Localism Act and other changes gradually empowered councils to work both like and with private sector companies. But it was really only when, several years later, Theresa May announced to her October 2018 Party Conference that she would ‘ditch the cap’ that councils’ widespread re-engagement with housing provision seriously took off.

There were and still are significant hurdles: tenants’ right to buy, planning constraints, the need for more grant funding. But the climate has indisputably changed, and at least some of the circulating local election manifestos will surely contain the evidence.

The reason I’m confident of this is that one of the York conference sessions I attended was presented by Bartlett School of Planning’s Professor Janice Morphet, who, with her colleague Dr Ben Clifford, recently completed the third of their series of biennial surveys of councils’ engagement in the provision of affordable housing.

I was aware of this work, but frankly had no real idea of its scope, depth, rigour or even of the sheer quantity of data the surveys produced and made available, in both the respective main reports and the separate desk survey reports. Seriously impressive – and obviously impossible to do any kind of justice to here.

Hence the focus on what has been one of the surveys’ particularly key and consistent findings, summarised here in a couple of quotes: first from Morphet herself, then from the recent third survey’s Executive Summary:

“The third wave of research shows how local authorities are directly engaging in housing provision [and] that this has moved from a marginal to a mainstream issue.”

“From the desk survey, we found that in comparison with 2017 and 2019, the number of councils with [housing and/or property] companies … has increased from 58% in 2017, 78% in 2019 to 83% in 2021 … From the direct survey, we have found that 80% of local authorities now self-report that they are directly engaged in the provision of housing, a notable increase from the 69% … in our 2019 survey … and the 65% from the 2017 survey.”

Who said academic conferences are an indulgent waste of time?

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⃰ A slightly abbreviated version of this blog – “Candidates will be homing in on a growing council priority” – appeared in the Birmingham Post on April 28th –  https://www.pressreader.com/uk/birmingham-post/20220428/281951726382871

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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.

We’re recruiting

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As the first step in further strengthening our brilliant team, this week we started advertising for a new education-focussed Assistant Professor (£42-50k). Soon we’ll be advertising for research and teaching academics at various grades – Assistant Professors, Associate Professors and full Professors – watch this space!

The Institute of Local Government Studies (INLOGOV) is the leading UK centre for the study of public service management, policy and governance. With over 50 years of experience working within local government and the public sector, INLOGOV creates the new thinking with public servants.  INLOGOV sits in the School of Government, which is one of the largest in the United Kingdom – home to more than 80 full-time academic staff, more than 1,200 undergraduate and taught postgraduate students, and more than 70 doctoral researchers. The School is intellectually vibrant with an excellent record in both research and teaching.


INLOGOV offers a range of postgraduate degree programmes, at Masters, diploma and certificate levels, with a thriving doctoral research community.  Our taught postgraduate programmes include a full-time on-campus Public Management MSc, an on-line Masters of Public Administration, a blended Degree Apprenticeship in Public Leadership and Management, and study opportunities for research degrees (MPhil or PhD).    


INLOGOV’s teaching is informed by a robust and innovative research agenda.  Building on our rich history of research addressing the institutional and political life of local government and public management, our research now reaches beyond these traditional structures and actors to address governance, democracy, leadership, participation, policy-making and service delivery at and across multiple scales and issues.
The successful post holder will be enthusiastic about teaching and able to teach students from new graduates to experienced professionals in areas such as public management and service delivery, policy making and implementation, participation and democracy, governance and devolution, or public sector economics and finance.  The post holder will teach on campus and online.  A range of CPD opportunities will be available.  

Role Summary

You will contribute to a range of education-related activities.  In addition, you will be expected to demonstrate academic citizenship, developing and maintaining mutually respectful and supportive working relationships with all staff and students, and ensuring the way you carry out your role impacts positively on how others carry out theirs. 

Teaching is likely to include a substantial contribution to: (a) the management, development and delivery of teaching and assessment at all levels; and (b) enhancement of the student experience and employability.  The role will also involve developing and advising others, including: (a) providing expert advice to staff and students, and (b) developing and advising others on learning and teaching tasks and methods. 

You will be expected to advance teaching and learning practice in your modules within the school, take a role in leading curriculum development, and play an important role in student academic and pastoral support.  You will deliver excellent teaching that inspires students and is informed by discipline-based research. 

Management and administration is likely to include developing and making substantial contributions to knowledge transfer, enterprise, business engagement, public engagement widening participation, or similar activities at Department/School level or further within the University.
 

Person Specification

⦁    Normally, a higher Degree relevant to the discipline area (usually PhD), or equivalent qualifications.
⦁    Extensive teaching experience and scholarship within subject specialism.
⦁    Proven ability to devise, advise on and manage learning.
⦁    Skills in managing, motivating & mentoring others.

Teaching
⦁    Ability to design, deliver, assess and revise teaching programmes. 
⦁    Extensive experience and demonstrated success in developing appropriate approaches to learning and teaching and advising colleagues. 

Management Administration
⦁    Ability to contribute to School/Departmental management processes.
⦁    Ability to assess and organise resources effectively.
⦁    Understanding of and ability to contribute to broader management/administration processes.
⦁    Experience of championing Equality, Diversity and Inclusion in own work area.
⦁    Ability to monitor and evaluate the extent to which equality and diversity legislation, policies, procedures are applied. 
⦁    Ability to identify issues with the potential to impact on protected groups and take appropriate action.


Desirable areas of teaching experience 
Experience of teaching in one or more of the following areas:
⦁    Public management and service delivery
⦁    Policy making and implementation
⦁    Participation and democracy
⦁    Governance and devolution
⦁    Public sector economics and finance
 

For full details and to apply please see: https://bham.taleo.net/careersection/external/jobdetail.ftl?job=220000E2&tz=GMT%2B01%3A00&tzname=Europe%2FLondon

For an informal discussion of the role, please contact Dr Karin Bottom, Head of Education ([email protected]) or Jason Lowther, Head of Department ([email protected]).

Women in (West Midlands) Governance: A patchy metamorphosis

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Chris Game

Yes, I did blog really rather recently on the topic of ‘Women in local and national governance’; and yes, I did conclude it by pledging to “retire gracefully from this particular field of research”.

But that was before I found myself fruitlessly upending my flat for anything conceivably useful to the Ukrainian refugees for whom one of my ward councillors was commendably collecting. Finding virtually nothing I could honourably offer, it was cash to the Disasters Emergency Committee, who assured me the UK Government would double my donation.

However, among the dust-covered treasures I’d totally forgotten, and spared the Ukrainians, was my 1975 Municipal Year Book (MYB) – a hefty, royal blue tome of 1,400-plus extremely closely printed pages, taking up over three inches of shelving.

myb

In pre-computer decades, when I joined INLOGOV, it was the proverbial local government bible – the 1975 MYB listing all 564 of the UK’s so-called principal local authorities plus, individually, their 26,467 councillors and further thousands of principal officers.

Several years later a thoughtful colleague, Ray Puffitt, bequeathed me his signed personal copy, possibly in exchange for my not pressing him to lecture to my undergraduate students.

Thoughtful because 1974/75 was, of course, the year of large-scale local government restructuring – or, in MYB-ese, ‘re-organization’. There were now far fewer councils and councillors, but these were the ‘new’ and therefore more relevant ones – which explains how I acquired my edition, though obviously not why it wasn’t binned decades ago.

Anyway, having discovered this 1975 stash of raw research data, I thought I’d share with you (and Birmingham Post readers) how much statistically women’s presence and visibility in our West Midlands local governments have changed in the past nearly half-century.

My earlier blog concluded by noting how Paulette Hamilton’s recent by-election victory for Labour in the Birmingham Erdington by-election had taken the proportion of women MPs over 35% for the first time. Moreover, that she and the six other women by-election winners since 2019 had – another first – made the Commons more gender-representative than our elected local governments, whose UK-wide proportion of women councillors has seemingly become stuck in the low 34%s.

Internationally, both percentages would get us, just, into the top quarter of the respective rankings. In educational lingo, though, it would be a “disappointing, could surely do better”.

If the Parliaments of Cuba, Mexico, New Zealand, Iceland and all Scandinavia can have more than 45% of elected women, why can’t we – or, more precisely, why doesn’t our huge Conservative Party majority comprise even a quarter? Similarly, if local government in countries as diverse as Bolivia, Tunisia, Iceland, Uganda, Namibia and Mexico can attract at least 45% of women elected members, why can we barely manage one in three?

At least, though, the picture has changed, or improved, hugely in the past half-century, which is what the rest of this blog is about – focusing on the metropolitan West Midlands.

I hadn’t moved to Birmingham in 1974/75, but I reckon that even without research I could probably have named the incumbent West Midlands’ women MPs – because, though few, they were all exceptional and established national reputations.

One, indeed, would have me as an Edgbaston constituent for the latter part of her elective parliamentary career: Jill (later Dame Jill) Knight, MP from 1966 to 1997.

The other three were all Labour: in West Bromwich another Dame-in-Waiting, Betty Boothroyd (1973-2000), latterly Speaker of the Commons. In Coventry West was Audrey Wise, and in Wolverhampton NE Renée Short. A formidable quartet.

Their successors are, necessarily, impressive too, and the reason I couldn’t immediately name them all is not just my ageing memory, but that there’s a full dozen of them. Eight Labour – including all three of Coventry’s – and four Conservatives out of West Midlands’ 28, or 43%.

Yardley’s Jess Phillips is, I’m guessing, probably best known, and she is one of just two of Labour’s eight who aren’t from minority ethnic backgrounds. Overall, another massive change from the mid-70s.

What about councillors?  Would the MYB’s council listings actually identify women members, and, if so, how?  Fortunately, they all risked the accusations of chauvinism and did – though in differing ways.

Birmingham, for example, gave first names – of all women members, while initialising the men. Then, as now, it was a Labour-dominated Council, 21 (17%) of whose 126 Members were women, including two Fredas, two Marys, and an exotic-sounding Carmen from Coleshill Road, B16. Oh yes, and a future Leader of the Council, Birmingham Lord Mayor, and wife of a Professor John Stewart.

bcccllrs

The other councils preferred marital status: almost always Mrs, with the very occasional Miss. Across the seven West Midlands councils Labour members outnumbered Conservatives by two to one, which was broadly reflected in women’s representation, with comfortably Tory Solihull managing just one woman out of 51 members.

However, the gender blend on Labour-run Coventry and Walsall Councils wasn’t that much better – four women on councils of well over 50, and one can only imagine how, on occasion, they must have been treated.

And no point whatever seeking empathy from senior women officers – because quite simply there weren’t any. Sorry, not strictly true. Of the 101 listed Principal Officers in the seven WM Councils, Miss H Clark, Wolverhampton’s Housing Manager, was the sole woman.

It’s here that the culture has changed most dramatically. Today, try counting the number of women in the senior managements of the seven West Midlands metropolitan councils, and the very first name you’d encounter would be Birmingham City Council Chief Executive: Deborah Cadman OBE – heading a 13-strong team of service Directors, including four more women.

Remarkably, though, that 38% female senior management puts Birmingham at the foot of this particular league table, which is headed by Dudley and Solihull with 75% and 67% women senior managers respectively, followed by Walsall with 57%, headed by CE Dr Helen Paterson. In this sphere of local government at least, there has indeed been a metamorphosis.

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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.

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A version of this blog – ‘Equality progress – but room for improvement’ – was published by the Birmingham Post, March 24th, 2022 https://www.pressreader.com/uk/birmingham-post/20220324/textview

Do shared services improve resilience?  Mixed evidence from district councils during the Covid-19 pandemic

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Dr Thomas Elston and Dr Germà Bel

Inter-municipal collaboration, often referred to as ‘shared services,’ has gained a significant foothold in English local government over the last 10-15 years, bringing England into line with much of mainland Europe and the USA. 

This model of jointly providing public services across two or more local jurisdictions, whether through a ‘joint committee’ or ‘lead authority’ model, or by joint commissioning of a private contractor, was primarily intended as an efficiency measure through which cash-strapped councils might attain new economies of scale during the ‘age of austerity.’  Limited evidence to date unfortunately suggests that councils’ large cost-saving aspirations have not tended to be been matched by achievements, though more research is needed.

Nonetheless, when councils and management consultants were preparing their ambitious shared service business cases, typically in the early 2010s, improved service quality and better resilience in the face of unexpected adversity were also named as advantages of the shared services approach, alongside efficiency.  Since efficiency and resilience are often regarded as mutually incompatible (e.g., slack resources are inefficient but protective against shocks), and given that there are few if any empirical tests of the relationship between shared services and business continuity in existing literature, we set out to investigate.

Taking the first Covid-19 lockdown during the spring of 2020 as the sudden and severe ‘adversity’ against which local government resilience was tested, we compared levels of service disruption in collaborating and autonomous councils compared against pre-covid performance, controlling statistically for potential alternative explanations.  Our analysis focuses on revenues and benefits departments in district councils, since a significant proportion of these (ca 30% at the onset of Covid-19) are operated collaboratively.  And we focus on the administration of Housing Benefit specifically, for which robust, high-frequency (monthly and quarterly), and multi-dimensional (speed, quality and cost) performance data is available.

Our study found that disruption of Housing Benefit application processing speeds during lockdown was unrelated to mode of service provision.  For both shared and autonomous arrangements, performance worsened slightly during lockdown, before resuming its pre-pandemic trajectory over the summer of 2020.  However, collaborating councils did show less of a decline in service accuracy objectives during lockdown, measured as both the identification of new debt owing to benefit overpayments (not shown) and, particularly, the recovery of such debt from claimants (shown in the graph below).  These mixed results – no effect on speed, partial protection for accuracy – proved robust to various different econometric specifications.

Average value of debt recovered from Housing Benefits claimants as percentage of total debt outstanding, comparing ‘stand alone’ and collaborative provision, Q4 2018–19 to Q1 2020–21

There are a variety of possible explanations for this pattern. 

First is that the apparent resilience in debt identification and recovery is simply an artifact of the performance differential between shared and autonomous revenues and benefits departments pre-pandemic.  As the graph above indicates, and contrary to business-case predictions, shared services (grey dashed line) appear to be consistently associated with less debt recovery prior to COVID, meaning that autonomous councils simply had ‘further to fall’ during the emergency, producing their appearance of reduced resilience. 

Second, and more substantively, is that high-performing organizations can fall into ‘success traps’ or ‘competency traps.’  According to existing literature on organizational resilience, the low level of challenge facing high-performing organizations during ‘normal’ times can leave them complacent and ill-equipped to deal with unexpected adversity; whereas less-successful organizations are more familiar with confronting and managing adversity in their everyday operations, and thus better rehearsed for managing crises.

Third is that there genuinely is something about the shared services model – be it the increase in operating scale, the balancing of peaks and troughs in demand and resourcing across different partners, the greater experience of remote working prior to COVID, or the lock-in effects that arise when service operations are specified in contracts or service-level agreements – that enables collaborative arrangements to better withstand the challenges of service delivery during lockdown.

Finally, it is interesting to consider why the partial resilience revealed in our data is concentrated on debt identification and recovery, rather than speed – recognizing that bureaucracies often face a trade-off between speed and accuracy of decisions.

Studies of goal conflict suggest that organizations can cope with such split objectives by prioritizing those that are most valued by their largest or loudest constituency.  Benefit claimants and their landlords favour speedy service, whereas central government (which funds Housing Benefit) advocates accuracy.  But perhaps Whitehall overseers pursued this agenda less forcefully during the pandemic, when many distractions arose and when preservation of life and livelihoods was clearly better served by providing speedy financial support to vulnerable populations than by auditing prior applications.

Alternatively, goal conflict can also be address by sequencing – addressing one goal first, and then another. Whereas poor timeliness of benefit processing cannot be subsequently rectified (once a payment is late, it is late), poor accuracy can be corrected subsequently through greater attention to and resourcing of debt collection later in the year or in future years. The debt will still be owed, albeit the risk of debt write-off will be higher. Future research will be able to test this ‘catch-up’ hypothesis once data on debt identification and recovery during subsequent quarters of the pandemic is released.

Overall, then, in contrast to the questionable financial benefits of shared service adoption in the English context, this study has indicated that possible advantages may be gained in terms of service resilience.  We have just secured a research grant to replicate and expand this research agenda into additional service areas and over a longer time frame.

This blog is based on research recently published in Public Management Review.

Dr Thomas Elston is Association Professor of Public Administration at the Blavatnik School of Government, University of Oxford.  His research focuses on the organisation of public services, and particularly on questions of performance, resilience, reform and democratic control.  His work on shared services has been published in JPART, Public Administration, Public Management Review, and Public Money & Management.

Dr Germà Bel is Professor of Economics and Public Policy at the University of Barcelona.  His research deals with the reform of the public sector, with a special focus on privatization, regulation, and competition. His research pays particular attention to local public services, transportation, and infrastructure. His work on shared services has been published in JPART, Public Administration, Public Management Review, Local Government Studies and Urban Affairs Review.