Devolution White Paper

Devolution White Paper: Executive Summary

The English Devolution White Paper, published by the Secretary of State for Housing, Communities and Local Government in December 2024, sets out the government’s plans to expand and strengthen devolution across England.

The local government white paper devolution proposals call for a shift of power away from central to local government to give English regions the autonomy to boost their own economies, improve living standards and remove regional inequality.

England is one of the most centralised developed countries where “too many decisions affecting too many people are made by too few”. Localised power puts decisions into the hands of those who understand the needs of their communities best.

In response to the devolution white paper, councils are now considering their plans for local government devolution. Later in this article we will explore local council devolution plans for Surrey, Sussex & Brighton and Cheshire & Warrington to understand how the white paper devolution proposals are impacting local areas in real terms.

Summary of key findings and recommendations

The English Devolution White Paper is focused on greater consistency across regions for economic growth and equal opportunities
The English Devolution Bill which put the white paper into law was introduced to Parliament in July 2025
Strategic Authorities will incorporate existing Combined Authorities
Integrated settlements will consolidate current multiple funding streams
The Devolution Priority Programme (DPP) will be used to fast-track eligible regions
Regions that have set the pace for devolution are:
- Surrey County Council (council restructuring under consultation)
- Sussex & Brighton Council (DPP – first mayoral election to take place in May 2026)
- Cheshire & Warrington (DPP – plans for a first mayoral election to take place in May 2027 under consultation)
Devolution is needed now for greater local resilience, robust economic growth and to support innovation in local services and infrastructure
Risks and challenges include funding limitations, the structural complexity of local government and political and local resistance
Recommendations to local authorities include collaboration across neighbouring authorities, transparency, clear communication and community engagement in future local government structures
Procurement frameworks are a cost-effective solution to fast-tracking projects in devolved regions while ensuring compliance
A proactive, timely approach to devolution is critical for beneficial gains.

What is devolution?

Devolution meaning: The transfer or delegation of power or responsibility to a lower level, or from a central government to a local government.

To define devolution UK more specifically, here is a summary of devolution categories:

Administrative/ executive devolution – the transference of responsibility for policies and services in areas such as education and healthcare from central government to regional or local authorities
Fiscal devolution – provides local government with greater financial autonomy over revenue generation and spending
Legislative – gives local governments the power to make and implement their own laws for certain matters.

Originally, the devolution definition was based on legislative frameworks in the UK to transfer more powers from Westminster to Scotland, Wales and Northern Ireland in 1998. Each nation now has executive and legislative devolution powers.

In parts of England, devolution has given Metro Mayors and the Mayor of London executive powers, but not legislative powers. One of the proposals of the English Devolution White Paper is to give mayors enhanced powers over housing, planning, transport, energy, skills, employment support and more.

To date, a fragmented approach to devolution in England, with piecemeal negotiated deals agreed between central government and some local areas, has led to inconsistencies in devolved powers from region to region. The English Devolution White Paper is focused on streamlining devolved powers. This creates greater consistency across regions for economic growth and equal opportunities.

For the built environment, devolution is already enabling region-wide action on priorities such as sustainability and infrastructure.

English Devolution Bill

The English Devolution and Community Empowerment Bill which put the devolution white paper into law was introduced to Parliament on 10^th July 2025.

The Bill outlines the government rollout of devolution via a standardised Devolution Framework which is a set of legal powers, funding commitments, and partnership/collaboration arrangements with government. It sets out what Strategic Authorities (the new devolved framework of local councils working together) are entitled to at each level of devolution. Strategic Authorities will incorporate existing Combined Authorities, and those with elected mayors will be entitled to more expansive offers than those without.

The English Devolution Bill will give the legal powers in the framework automatically to each level of Strategic Authority and unblock decision-making in Combined Authorities (groups of local councils working together, with or without an elected mayor) and Combined County Authorities by creating a standard voting method based on a simple majority.

Since the devolution white paper was published, the government has already implemented a range of measures including:

Giving Liverpool City Region, South Yorkshire, the North East, West Yorkshire, Greater Manchester and West Midlands regions the Established Mayoral level of devolution through which they have greater freedom in spending.

Integrated settlements, which are multiple funding streams consolidated into a single, multi-year settlement, will be given to these areas from 2026 – 27

Establishing two new Mayoral Strategic Authorities in Greater Lincolnshire and Hull & East Yorkshire
Announcing the Devolution Priority Programme (DPP) which fast tracks 6 more regions to devolution with the opportunity to establish a Mayoral Strategic Authority. This will take the proportion of England covered by devolution to 77% or just over 44 million people
Inviting proposals and receiving initial responses from 21 areas to undertake local government reorganisation.

English devolution is key to the success of the government’s Levelling Up programme devised to reduce economic and social imbalances between areas and social groups across the UK. Under the Levelling Up agenda, devolution can give each local area more control to implement tailored initiatives to boost economic growth. The unique challenges and opportunities of each local area can be more easily identified and addressed.

Local Unitary Authorities, which operate under a centralised structure with the responsibilities of both county and district councils, will be affected by devolution in a different way to County Authorities. With more centralised decisions made at a national level, Unitary Authorities may experience less tailored decision making, while devolved County Authorities can work towards more effective and targeted initiatives for improved public services.

English Devolution White Paper and Levelling Up

English devolution is key to the success of the government’s Levelling Up programme. Devised to reduce economic and social imbalances between areas and social groups across the UK. Under the Levelling Up agenda, devolution can give each local area more control to implement tailored initiatives to boost economic growth. The unique challenges and opportunities of each local area can be more easily identified and addressed.

With more centralised decisions made at a national level, Unitary Authorities may experience less tailored decision making. While devolved County Authorities can work towards more effective and targeted initiatives for improved public services.

Local Government Devolution White Paper

The 2024 local government devolution white paper will expedite government reform by generating a more responsive governing system for each region. With powers and funding transferred to Strategic Authorities, decisions can be made based on local issues and needs, rather than national agendas.

Strategic Authorities are categorised as follows:

Foundation Strategic Authorities (without a directly elected mayor)

A first step into the devolution process with potentially more limited powers than mayoral authorities

Mayoral Strategic Authorities (with a directly elected mayor)

Includes MCCAs (Mayoral Combined County Authorities) and Greater London Authority. They receive more powers than Foundation Strategic Authorities

Established Mayoral Strategic Authorities

Must meet specific criteria including having had an elected mayor in place for longer than 18 months. EMSAs are given access to further devolution and integrated settlements.

The government has pledged to extend devolution settlements for existing Combined Authorities and widen devolution to areas without a deal. To benefit from future devolution deals, the white paper indicates that local authorities should consider a strategic approach to implementing and supporting strong local leadership. It is also essential that financial stability is prioritised, along with transparent accountability. Developing strong relationships with all stakeholders, and proactive engagement with residents, will further help to secure deals and achieve local government devolution white paper objectives.

Here are some examples of regional progress:

Regional Focus: Surrey County Council Restructuring

Devolution proposals submitted by Surrey County Council propose a restructure into two councils: West Surrey and East Surrey. This will replace the existing 12 councils. It is proposed that the Surrey County Council restructuring will unlock wider devolution ambitions, including the election of a mayor. The mayor would be tasked with creating a new Strategic Authority covering the entire county.

The Surrey devolution proposals are supported by local public sector organisation leaders from the fire service, police, healthcare and local businesses.

A central government consultation about Surrey County Council restructuring is being held until 5^th August 2025. This will collate the opinions of residents, businesses and other interested parties on Surrey County Council devolution. When all input has been considered a final decision will be made.

Regional Focus: Devolution Sussex

Through the Devolution Priority Programme, Sussex devolution plans have progressed at pace. The government has already agreed to a single Strategic Authority for Sussex & Brighton with an elected mayor. The region’s first mayoral election will take place in May 2026.

The existing two-tier model of county council and borough or district council (such as East Sussex County Council with Eastbourne Borough Council) will become one Unitary Authority. A two-tier local government structure can cause confusion for the public regarding which services each council (county or borough/district) is responsible for.

There are also potential inefficient duplications of functions. These issues create a grey area around accountability which can lead to significant challenges.

The MCCA will bring upper tier local councils from across Sussex to operate across the region, making decisions at a local level and prioritising key economic issues such as transport, housing and planning, economic growth, and skills and employment support. Meanwhile, lower tier existing councils will continue to deliver routine services.

Regional Focus: Cheshire and Warrington Devolution

Like Sussex, the Cheshire and Warrington region is part of the Devolution Priority Programme. The government has accepted the area’s plans for a Mayoral Combined Authority and to hold mayoral elections in May 2027. The three councils, Cheshire West & Chester Council, Cheshire East Council and Warrington Borough Council, will make a final decision by the end of 2025.

Under the Cheshire & Warrington devolution deal plans, each individual council would retain its current responsibilities and continue to provide local services.

The decision by Chester & Warrington to apply for a devolution deal is driven by current pressures in services such as transport, employment skills and housing. Rural areas and towns need affordable and convenient transport, large and small homes close to employers and public services, and a skilled workforce that will improve employment rates and benefit local businesses.

Being close neighbours of both Greater Manchester and Liverpool City Region MCCAs, Chester & Warrington has been inspired to unlock its potential for economic growth through greater funding and decision-making powers made possible through devolution.

Other County and Unitary Authorities can take lessons from deals offered to the likes of Chester & Warrington by anticipating questions about devolution that are likely to be raised by local residents, stakeholders and businesses:

- What is devolution?
- How is the English Devolution Bill relevant to my local area?
- What is my local authority striving to achieve from devolution?
- What is in the English Devolution White Paper PDF?
- How will the potential outcomes of devolution benefit me and my community?

Transparency and clear communication ensure those who can potentially benefit from devolution have all the information they need to engage positively with the changes, without fear of a detrimental impact on public services.

Reflecting on the potential impact of devolution for Cheshire and Warrington, Julian Cobley, Senior Account Director at Arcadis, highlights both the opportunities and challenges that lie ahead.

“Devolution offers Cheshire and Warrington a chance to empower local leaders and directly address regional priorities in the pursuit of inclusive growth, particularly within the crucial science and innovation and sustainable development sectors.

While it presents a significant opportunity to better align transport infrastructure with economic clusters and accelerate housing delivery, the complexities of integrating three unitary authorities isn’t without its challenges. Success hinges on a robust governance model that navigates these local nuances, ensuring a clear funding pathway and community buy-in to unlock a legacy of resilient, connected, and prosperous communities.”

Why Devolution Matters Now

Devolution and resilience

One of the government’s key objectives of the English Devolution Bill is to support local government in building resilience across local areas and communities.

The importance of local empowerment and resilience was felt beyond measure during and after the Covid-19 pandemic when local communities mobilised to help others. The participation of local people in governance and the management of services was normalised. Some may argue it increased scepticism of the extent of centralised governance in the UK. Devolution offers the same sense of local autonomy on which communities have been proven to thrive.

In July 2024, the government announced a review of national resilience in response to the publication of the Covid Inquiry Module 1 Report, as cited in the English Devolution White Paper. The review will inform the development of resilience responsibilities adopted by devolved Strategic Authorities at a regional level.

Devolution meaning for economic challenges

Economic challenges and shortcomings in public services will only improve with swift, systemic change. The regional economic resilience strived for in the levelling up agenda will be more quickly achieved in devolved regions where local leaders are making decisions on behalf of local people specific to local challenges.

Devolution and innovation in service delivery and infrastructure

The devolution white paper outlines the need for strengthening local innovation ecosystems. Local leaders who work in partnership with businesses and universities can unlock their regions’ innovation potential to establish innovation-led growth which benefits everyone. With increased powers over services, local authorities have greater opportunities to innovate to address local issues with regard to service delivery and infrastructure.

Where possible, the government will reduce the number of restrictive grants to local authorities and, instead, consolidate resource funding for service delivery and infrastructure in devolved regions into the Local Government Finance Settlement to reduce central government micromanagement.

Risks and Challenges

Devolution UK Funding

Funding will be key to the success of the English Devolution Bill. Without sustained financial support, councils could fail to meet the white paper devolution commitments.

For the proposals outlined in the devolution white paper 2024 to work, the Institute for Fiscal Studies claims that funding reform should come first. The IFS refers to the lack of a proper system for allocating funding between councils which leads to big discrepancies in the funding areas need and the amount they actually receive: “Ploughing ahead with substantial devolution, particularly of major new sources of revenue, without addressing these problems risks entrenching them and undermining some of the purported benefits of devolution.”

Funding limitations are also a concern. A July 2024 Centre for Cities briefing claims a major challenge for the English Devolution Bill is the state of English local finance, with several councils having declared ‘effective bankruptcy’ at the end of the previous government as a result of weakened local government over many years: “Ultimately the government must choose one of three possible options. Either large increases to council tax for everyone; large increases in central government grants when the public finances are squeezed; or reform of English local government and fiscal devolution.”

Structural Complexity of Local Government

Differences in local government structure will cause complications for eradicating regional inequalities through the English Devolution Bill. Metropolitan areas, typically city regions with an elected mayor who oversees a Combined Authority, are likely to secure better deals that provide more power over local services and economic development than non-metropolitan or ‘shire’ areas which are more rural or coastal and tasked with balancing urban and rural needs.

The different local government structures – Unitary Authorities, Combined Authorities, and two-tier systems of local government with county and district councils – each has unique priorities and challenges.

Political resistance to devolution and local buy-in

Political resistance to devolution is typically based on concerns about unequal progress across regions (urban faster than rural), the level of power given to mayors, and the framework of devolution deals established by the government.

Local buy-in of devolution also shows signs of resistance. Issues such as accountability, inconsistency in powers across regions, the impact on local services and the focus on leaders are creating local unease and scepticism.

Recommendations for Local Authorities

The success of Surrey, Sussex & Brighton and Cheshire & Warrington councils in securing devolution deals will no doubt influence other councils to follow suit.

How should local authorities prepare for, or accelerate, a devolution deal? This depends on their devolution status.

Local authorities in DPP areas:

Ensure the Strategic Authority is in place by early 2026
Prepare for mayoral elections or shadow elections (temporary electoral process to transition to a new Unitary Authority) in May 2026
Prepare for vesting day (for new Unitary Authorities) in April 2027
Establish joint working protocols across councils
Secure sufficient resources to deliver the programme
Carry out stakeholder consultation.

Local authorities in non-DPP areas

Submit reorganisation proposals by 28^th November 2025
Submit interim plans to demonstrate progress by 21^st March 2026
Organise shadow elections for May 2027
Prepare for vesting day in April 2028

For devolution deals to be successfully secured and delivered, collaboration across neighbouring authorities is critical, as is embedding transparency and community engagement into future local government structures.

How can procurement frameworks help local authorities to prepare for devolution?

Procurement frameworks provide a ready-made, cost-effective solution to fast-tracking projects in a devolved England while ensuring compliance. As outlined in a recent Procure Partnerships Article, a procurement framework provides devolved authorities with a streamlined procurement solution that ensures funding is used strategically for maximum regional impact.

Devolution and the importance of a timely, thoughtful approach

A proactive, timely approach to devolution will allow local authorities and policy makers to comprehensively address specific local needs and foster innovation more effectively. Using local knowledge to target spending, devolved local authorities can prioritise funding and gather necessary resources within required timescales.

The examples of devolution cited in this article demonstrate how channels to devolution agreements differ. As part of the Devolution Priority Programme, Sussex & Brighton and Cheshire & Warrington have set the pace having been fast-tracked through the process alongside four other DPP councils. Meanwhile, Surrey County Council restructuring will firstly involve Surrey’s 12 councils becoming two unitary councils, combining county and district borough services into a single level of government.

Whatever the path to devolution, a holistic strategy with comprehensive consultation process and clear communication will be essential.

Are you ready for devolution?

Speak to Procure Partnerships Framework about how we can help you streamline procurement for a successful transition to devolved local government.