Through analysing the potential unitary scenarios of 19 county areas, engaging with colleagues from across the sector as they prepare for LGR, and those who have already been through it previously, this programme of work has sought to provide an evidence base for the potential impact of reorganisation on people services. The report's findings indicate that decisions about unitary authority size and configuration will have profound, long-lasting impacts on the most vulnerable members of society who depend on people-based services. While LGR presents significant opportunities for improved service delivery and democratic accountability, this analysis reveals substantial risks if reorganisation results in excessive fragmentation of people-based services through disaggregation. The evidence analysed strongly suggests that maintaining larger-scale unitary authorities is essential to preserve service quality, control costs, and ensure financial sustainability. Disaggregation should be avoided or minimised where possible, but where it cannot, the analysis suggests unitary authorities with populations in excess of 500,000 are those most likely to be able to reduce the risks of extreme demand variation, increased unit costs, and deterioration in service quality. Where disaggregation takes place, careful attention is required to maintaining appropriate scale, ensuring equitable resource distribution, and coordinating with wider public service reforms.
Without proper mitigation of identified risks, reorganisation could significantly harm service quality, increase delivery costs, introduce additional operational complexity, and potential threats to the viability of newly created authorities. These risks must be considered within the context of the severe demand-led pressures facing people services, and the pressing need to preserve investment in preventative services to reduce existing challenges within the system. However, with appropriate planning and scale considerations, LGR offers the potential for transformational improvements in how local government serves its communities.
10.1 Priorities for government
Based upon this programme's findings, a set of conclusions can be drawn which highlight key priorities for government to consider in moving to the next phase of LGR and assessing, selecting, and implementing proposals put forward by local areas. These priorities are intended to enable the clear opportunities and benefits of LGR to be fully realised whilst mitigating the risks. These priorities are summarised here and are underpinned by the evidence presented throughout this report. The analysis undertaken and the engagement carried out with the sector has identified ten key priorities for government:
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