Local Government Newsletter | Volume 41

Plus: 💡 £19BN Tech Framework to Boost Digital Strategy Until 2030

Local Government Updates

Welcome to Local Government, your weekly newsletter offering insights and strategies to help UK council leaders innovate, engage, and deliver better public services.

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TECHNOLOGY IN LOCAL COUNCIL OPERATIONS

Agilisys Transform recently spent a day with Dundee Council showcasing QuickAction, the Generative AI platform designed to streamline local council operations. Engaging with teams from across the council, including customer services, social care, HR, legal, and IT, Agilisys Transform demonstrated how AI can reduce administrative workload and free up staff for more valuable work. Through live demonstrations, Dundee Council explored QuickAction’s capabilities in action—from summarising case notes to automating responses and improving service efficiency. Each team had the chance to see how AI could complement their specific processes, sparking discussions on how Dundee Council could integrate Generative AI into their own operations.​

Beyond just showcasing the technology, the session encouraged Dundee’s staff to think about their own AI journey - what transformation could look like for them and what challenges they might need to navigate. The Agilisys team helped different council teams identify where AI could make the biggest impact, whether in speeding up internal processes, enhancing service quality, or reducing pressure on frontline teams.​

If your council is exploring how Generative AI can enhance operations, Agilisys is here to help. They are experts in working with local authorities to identify where AI can have the biggest impact and selecting the right tools to support your teams. From hands-on demonstrations to in-depth discussions, they bring AI to your staff, helping you understand its potential, navigate challenges, and build a roadmap for adoption. Whether you are looking to improve efficiency, reduce administrative burdens, or enhance service quality, they partner with you every step of the way.

Get in contact to see how Agilisys can deliver these workshops at your council!

 LOCAL GOVERNMENT STRATEGY

The reorganisation of Cambridgeshire and Peterborough's councils presents a significant financial challenge, with costs exceeding £18.6 million. This consolidation, aimed at streamlining the two-tier system into a unitary structure as urged by government priorities, must be funded by existing councils. Chief Executive Stephen Moir underscores the urgency of judicious resource management to prevent disruption to essential services. Strategic planning is crucial in balancing routine service delivery with reorganisation costs, requiring a focus on resource optimisation and fiscal prudence to safeguard service integrity amidst these changes.

Council leaders are examining various unitary models, with preliminary plans due in March, followed by detailed submissions in November. The substantial financial outlay, described as "horrifying" by the Fenland District councillor, necessitates meticulous planning. The county council's decision to allocate up to £1 million underscores the critical need for innovative financial strategies and collaborative governance. These efforts must align with broader government objectives while confronting the fiscal implications of reorganisation, demanding an astute approach to both funding and policy alignment in navigating this complex transition.

LOCAL COUNCIL STRATEGY

Local government financing in England stands at a pivotal juncture, requiring a shift from past practices to a system capable of addressing 21st-century challenges. Analysts Muldoon-Smith and Sandford propose an innovative framework akin to successful models in Japan and Germany, advocating for decentralisation and robust local autonomy. Key strategies involve stabilising the finance system, refining the assessment of local needs, and ensuring territorial equalisation to empower councils to tackle distinct issues within a cohesive governance landscape.

The creation of an inter-territorial standing commission, alongside decisive local tax reforms, emerges as critical to fortifying cooperation and fiscal integrity. Emphasising complex adaptive systems and embedded autonomy, the authors advocate for ongoing central-local dialogue, fostering a collaborative financial ecosystem. This strategy allows local authorities to act independently yet within an integrated structure, advancing their agendas while maintaining alignment with national objectives. By adopting these transformative concepts and leveraging international success stories, England's local government finance can evolve into a more resilient and equitable system.

SOCIAL CARE INVESTMENT

Westminster City Council approves a strategic £2.6m allocation to enhance adult social care. This investment aims to boost care assistants' salaries, eliminate costs for numerous residents, and revise income thresholds. Crucially, despite increased budgets, Council Tax sees a modest 48p weekly rise for Band D properties, ensuring fiscal sustainability.

COUNCIL FINANCE STRATEGY

Local councils face a funding crisis, with closures of over 1,200 youth centres, 1,100 children’s centres and 1,300 libraries since 2010. The upcoming spending review is critical to reversing long-term underfunding. Strategic, fair funding is vital to avert financial collapse and align with government objectives for local communities.

LOCAL COUNCIL FUNDING

Dudley Council is set to receive £3.9 million in extra UK Shared Prosperity Funding (UKSPF) to support town centre regeneration, business support, and employment initiatives. The funding, pending approval from the West Midlands Combined Authority, will support the completion of projects like the Dudley bus and tram interchange, the Health Innovation campus, and improvements to Dudley Market. This forms part of the council’s Economic Regeneration Strategy for 2025/26.

TECHNOLOGY PROCUREMENT

The Crown Commercial Service's (CCS) impending launch of the Technology Services 4 Framework, valued at nearly £19.2 billion, signals a transformational leap for public sector technology solutions. This initiative addresses critical areas like digital consultancy, infrastructure, and application development, reflecting an urgent need for strategic, cost-efficient enhancements in government digital services. Spanning an initial three-year term, with the prospect of extension to five years, this framework could redefine local digital infrastructure by late 2030.

The CCS's prior market engagement anticipates streamlined bidding opportunities in 10 days, offering a tactical advantage for local councils aiming to align with national digital goals. This comes on the back of the previous framework that engaged 236 suppliers across pivotal categories, highlighting a renewed focus on innovation and precision within service integration. Such monumental financial commitment from the government encourages local leaders to pivot towards adaptive strategies that resonate with emerging procurement dynamics and enhance local governance's technological adeptness.

TACKLING POVERTY INITIATIVES

The Scottish Government's allocation of nearly £2.2 million to the Wise Group in the 2025-26 financial year signals a strategic initiative to bolster support for low-income families across six local councils. These investments not only represent necessary financial backing but also signify a commitment to tackling child poverty and navigating cost-of-living challenges. The focus remains on areas like Glasgow and North Lanarkshire, with wrap-around support designed to facilitate employment, skill enhancement, and mental health well-being, crucial for overcoming the challenges faced by local councils.

This initiative is part of a broader financial strategy exceeding £3 billion, aimed at long-term solutions such as affordable housing, social security benefits, and enhanced public transportation. However, the effectiveness of these efforts is compromised by UK government policies like the two-child cap on universal credit. Removing this cap could bring transformative benefits to around 15,000 children, intensifying the need for proactive policy interventions at both local and national levels. This context calls for agile decision-making, with local councils positioned at the forefront of executing this ambitious socio-economic agenda.

SEND STRATEGY

Cumberland's new strategy aims to enhance support for children with special educational needs and disabilities (SEND) by 2028. Priorities include building trust, improving service quality, and preparing youth for adulthood, reflecting a national issue and emphasizing the need for comprehensive, inclusive, and accessible education and local services.

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