How could the devolution plan's focus on strategic authorities affect LGC?
LGC's capacity review is central to assessing readiness for England's devolution plans The government's devolution plans aim to establish strategic authorities across England by 2028, transferring key powers from Whitehall. The Cabinet Office recognized that regional readiness for this change varies significantly. In response, LGC conducted an analysis revealing stark differences in the staffing levels of these strategic authorities, ranging from 5.9 full time equivalent staff at Devon & Torbay CCA to over 1,500 at the Greater London Authority. This review is part of the strategy to develop regional capacity and capability.
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During the Budget speech, John Healey announced fiscal devolution plans for England, which include granting mayors devolved powers over economic development, transport, and skills. These new mayors will receive a share of income tax and 20% of local business rates from 2028, along with the power to introduce an Overnight Visitor Levy. Separately, the government implemented business rates relief, including an extra 20% for pubs and venues, and increased the small business rates relief threshold to £18,000 for retail, hospitality, and leisure businesses starting April 1, 2027.
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The Cabinet Office document recognized the varying capacity of existing authorities, stating that there will be different levels of readiness for change across regions. It committed to working with authorities on a strategy to develop their capacity, including transferring resource from central government. LGC conducted an analysis that revealed stark differences in the number of staff employed by strategic authorities. Staffing levels ranged from 5.9 full time equivalent staff at Devon & Torbay CCA to over 1,500 at the Greater London Authority.
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- lgcplus.com Aug 5
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The facts so far
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- Cabinet Office policy paper, Rewiring the State, set out plans for all parts of England to have strategic authorities in place by 2028.lgcplus.com
- Staffing levels ranged from 5.9 full time equivalent (FTE) staff at Devon & Torbay CCA to over 1,500 at the Greater London Authority.lgcplus.com
- The Cabinet Office document recognized the varying capacity of existing authorities.lgcplus.com
Why it matters
The successful implementation of devolution hinges on the operational readiness of these new strategic authorities. LGC's analysis provides the data points necessary for the government to determine where capacity gaps exist, which in turn dictates how central government resources must be transferred or how authorities must be supported to meet the 2028 deadline.
This review highlights the complexity of transitioning power from Whitehall to regional bodies. The findings show that capacity is not uniform, with some authorities having significantly larger teams than others, raising questions about how the government will ensure all regions can effectively deliver the new responsibilities.
What we don't know yet
- How will the government address the capacity concerns raised by the LGC peer review regarding authorities like Devon & Torbay CCA?
- What specific resource transfers will be made from central government to develop the capacity of less-staffed regional authorities?
Is this still moving?
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Other possible ripples from the same event.
- ManchesterLikelyManchester may gain new fiscal powers through devolution plans
- House of CommonsLikelyDevolution plan may reduce the House of Commons' central legislative control over taxation
- John HealeyPossibleDevolution plan may shift John Healey's policy focus away from central government control
Reporting
- lgcplus.comAug 5
- lichfieldlive.co.ukWednesday
- icaew.comWednesday
- cityam.comSep 17
- aol.co.ukSep 10
- morningadvertiser.co.ukAug 4
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