Save South East from crisis to drive national renewal, Localis report argues
Government must use the next Comprehensive Spending Review (CSR) to bring councils in the South East of England back from the brink of looming crisis and restore their strength and capacity to deliver on the national missions, the think-tank Localis has argued.
In a report published today entitled “Restoration and Resilience: building capacity and capability to deliver local services in the South East”, Localis reveals that despite its reputation for prosperity, councils serving the 9.2 million people living in the country’s most populous region are experiencing significant financial strain causing a worrying decline in their capacity to deliver vital local services.
According to the Localis study, councils in the South East must gain powers over local public sector recruitment policies and to set more competitive pay scales to attract and retain talent in the region. It further argues they would benefit from devolved control of immigration policy for key roles like care workers and in green skills to address acute workforce shortages made worse since Brexit.
Key findings from the report include:
- financial strain: South East councils are facing significant financial pressures, with many resorting to minimum service provision.
- capacity crisis: a shortage of skilled staff and outdated workforce practices are hindering service delivery.
- fragmented governance: the region’s fragmented political landscape hinders effective collaboration and strategic planning.
To address these challenges, the report recommends a series of measures, including:
- strengthening financial governance and strategic leadership
- diversifying revenue streams
- investing in workforce development and capacity building
- promoting collaboration and partnership working
- reforming the funding system
- empowering local authorities through devolution.
Jonathan Werran, chief executive, said:
“The South East is a vital economic engine for the UK, but its local government system is under severe strain.
“We need urgent action in the forthcoming finance settlement and longer-term Comprehensive Spending Review settlement to ensure that councils across the South East region have the resources and tools to deliver essential services and drive economic growth and realise the national missions at the level of place.”
Sean McKee, director, South East Councils, said:
“As ministers ponder structural matters for the South East like devolving powers and council sizes, an additional, crucial issue requiring dedicated focus is the local government workforce.
“Government is eager to pursue national missions to foster economic growth and bring social benefit. However, delivering those missions at the local level will require an adequate, skilled cohort of council staff on a range of services.
“The current delivery framework has limits and gaps in several service areas, these need to be addressed before any new responsibilities are bestowed.
“This report offers a timely spotlight on the regional council workforce, noting concerns around retention and recruitment, but also commenting and questioning the how, what, and why, related to enabling the South East region to be part of government’s quest for national renewal.”
Ruth Adams, chief executive, South East Councils, said:
“The South East has always been a vibrant and enterprising place and our councils reflect this, and are ambitious to see increased capacity and capability to deliver their ambitions for the region.
“Recruitment and retention of staff together with developing a highly-skilled workforce is a priority for councils and as the regional employers’ organisation for the South East, we are pleased to support this report and to shine a light on these crucial issues.”