English Devolution and Community Empowerment Bill (First sitting)

Debate between Paul Holmes and Maya Ellis

Committee stage
Tuesday 16th September 2025 Public Bill Committees

[Maya Ellis]

Q My question is about the difference between the current number of strategic authorities, which are very urban, and the big swathe of coming strategic authorities, which are fairly rural. I am interested in how you see leadership evolving in those different areas. Are there ways in which this Bill needs to be strengthened to account for the different ways that those county and shire areas will be affected by becoming strategic authorities, compared with the urban developments we have had so far?

Bev Craig: With the pattern of devolution over the last few years, you are right that a number of combined authorities have cities as the driving economic force at their heart. That would probably do discredit to some of my colleagues who see themselves as already operating in more of a rural space.

The expansion of the competencies of strategic authorities within the Bill is quite important, as that is how you get the balance that matters for a place. We should also be mindful that size is not a barrier to democracy, and it does not create a deficit—that holds just as much for strategic authority size as local authority size. I run a city of 630,000 people, but my ward has 18,000 residents and I can still do a very good job on their behalf. A change of boundaries does not necessarily change someone’s association with a place.

An adjustment of some competencies still allows a new mayoral model to give a focus to place. The priorities will be different in rural and urban areas, but that is where having strong local authorities wedded into that helps some of that strategic planning.

Kevin Bentley: I absolutely agree because it already exists: Essex and Suffolk are both examples. The population of the Essex local authority area is 1.5 million; it is 80% rural and the rest is urban, so it already exists. In these matters, size must be appropriate to deliver services, but this is not 1974; it is 2025 and we operate differently and deliver our services differently. That needs to improve.

The previous Government delivered a lot of devolution very successfully, and the current Government are carrying that on with alacrity and speed. The bottom line is that it is important that people have excellent services delivered at best value. Modern-day local government does that in the best way it can, but the two-tier system does not allow it to be better. We are running on a 1974 model. It is time to change that.

In terms of local democracy, the neighbourhood delivery committees that we and the Government have proposed in the business case going forward will do something that has never happened before, with decision making going to local people in very local areas. That does not happen now and has never happened before, but it is going to happen with the Bill.

Matthew Hicks: From the CCN’s perspective, devolution is clearly a good thing, which we have pushed for and wanted for a long time. It is now moving forward at pace. The bottom line is that it ensures that decisions are made closer to local people, closer to communities and closer to the businesses they affect. The end result is a much more effective and better targeted authority, better public services, stronger growth and stronger partnerships in the private and public sectors, so it is positive across the board.

Kevin made a point about the partnership boards, which will also play a really strong part. In rural areas such as Suffolk where the population is 760,000, the large geography of the county allows us to deliver that more locally, even though we are a large rural area.

[Paul Holmes]

Q Good morning, everybody. I want to go back to something that was touched on by the previous panel. We are going through simultaneous restructuring of local government and setting up the strategic authorities, and in her questions the Minister has outlined that the 500,000-people target for LGR was never a hard target; it was a soft target. That is not my recollection of when local authorities were approached in quite a speedy way to make sure we went through the LGR.

My question is for all three of you: has there been a change of emphasis on that target from the early conversations that you had with a Minister, albeit a previous one? Do you think there has been a change in Government emphasis on the size, and how has that added to the confusion and the challenges of setting up these strategic authorities as the Bill goes forward?

Kevin Bentley: Yes, I certainly thought that was a hard target. Most colleagues thought it was a target to hit. It changed. It is important that we listen to people; lobbying was done around that and the Government listened to people. Those who do not change their mind never change anything, as Churchill would say, so it is important that the change took place, but it did cause confusion about what they meant.

For me, evidence leads the way. When we went into this in Essex, I was very clear that the evidence would tell us the shape and size of unitary authorities, and we would not set the number of unitary authorities and then make the evidence fit. That is what we have done. We are certainly doing that in the business case, and I believe other colleagues have done the same thing. It did cause confusion, and there was a lot of head scratching in the system to see whether we could test whether it was below, on, or above 500,000. To me, rules are there for the guidance of wise people, and the evidence leads the way.

Bev Craig: In my recollection, the Minister was always clear. Some of the questions arose with the conveying of that from colleagues in the Ministry of Housing, Communities and Local Government. At times, the sector felt desperate for a literal prescription, because until that point that was the kind of relationship we had had with Government. It had been quite some time since the Government had come to us and said, “Hey, come and be creative in terms of how these needs reflect your place.”

The 500,000 figure has helped people to understand that the programme of reform does not work if what is created is even more local authorities, each with 180,000 people. So we have taken on the guidance but it has become more clear as we move through the programme that this is indicative rather than prescriptive. I think the reality is about having sensible footprints, where services can be delivered at an economy of scale that helps services to perform well, can work with the strategic authority, and still speak to a sensible place that people can identify with. That is complicated; if it were easy, we would have done this before 1974.

Matthew Hicks: The size of the new unitary models really does matter; it is critical. Half of the members of the CCN are unitary authorities, and we see the benefits that this has brought, including large recurring savings, which is a big consideration. It also puts in place more sustainable structures. Back in February, the CCN supported the guidance in the invitation letters; we saw this as a means of reorganisation, with the numbers and the scale being about right for a sustainable long-term future.

I do think that some elements have been undermined by inconsistent messaging over recent months. The stated ambition for new unitary councils was that they would cover a population of about half a million or more. We saw similar issues coming up around social care and using existing council boundaries. There have been mixed messages around the building blocks of the new unitaries.

That inconsistent and slightly unhelpful messaging has led to a situation that will probably make life harder for the Ministry of Housing, Communities and Local Government, because we are now seeing a significant increase in the number of business cases coming forward, and that will make it more difficult for MHCLG to scrutinise. If we look at Suffolk now, we are going to have one application for three unitaries of 250,000 each, which is really very small, with new boundaries. So I think the mixed messaging will create more work for MHCLG, because it is important that it looks at the detail and the data, and that its decision is based on evidence, not just politically driven.