At the LGA’s Smith Square debate in March, on ‘LG2040: the state of things to come’, we had an interesting discussion on how innovation spreads.
I mentioned my frustration that many evaluation reports lack traction and basically say ‘we don’t know, so probably do more research’.
However, over the past 18 months, government has released a wave of evaluation evidence across multiple themes that are priorities for local government, including homelessness and rough sleeping, local growth and skills programmes, democratic engagement and the Community Ownership Fund (COF).
The collection reveals a landscape where councils are doing a great deal right, but also highlights where structural conditions, funding models and capacity constraints limit what even the best local practice can achieve.
Most recently published evaluations echo the same system level diagnosis: demand is rising faster than capacity.
In homelessness, systems-wide analysis shows local authorities facing increasing crisis presentations driven by housing shortages, welfare constraints and cost of living pressures.
Compressed timeframes and short-term funding cycles created operational strain and restricted innovation in the UK Shared Prosperity Fund (UKSPF), which replaced previous EU structural funds, and the adult numeracy skills programme Multiply.
The COF interim evaluation suggests that without the fund many pubs, community centres, sports facilities and heritage buildings would likely have been lost from community use, but also highlights long lead-in times, complex project management demands, and volunteer burnout as recurring challenges.
Another common thread is that prevention consistently outperforms crisis response, but funding systems still favour the latter. For example, across homelessness evaluations, the conclusion is clear: prevention is more humane, more effective and delivers better value for money than crisis response. Yet central local funding arrangements often reward short-term, visible ‘rescue’ rather than long-term preventative investment.
One of the clearest conclusions across the recent evaluations is that local flexibility works.
For example, UKSPF’s devolved decision-making has been praised for enabling councils to design interventions aligned to local priorities, while Multiply’s flexible design allowed councils to embed numeracy learning in real-world contexts that resonated with learners.
Other recurring threads across the evaluations include: the impact of workforce shortages and operational capacity, as staff churn, fragile volunteer bases, rising caseloads and short-term contracts constrain delivery and limit innovation; and that partnerships make the biggest difference but need careful stewardship.
Three big implications stand out across the evaluations.
First, councils are increasingly system shapers, not simply programme managers. The evaluations underline that outcomes depend on how councils orchestrate local systems – such as housing, economic development, voluntary and community sector (VCS) partners and community groups – rather than on the quality of any single programme.
Second, stable, long-term funding is essential for prevention, equity and innovation. Short-term cycles undermine prevention, limit strategic planning and exhaust delivery partners.
Finally, capacity building is central to reducing inequality, even when the policy focus is capital investment.
Councils, community groups and VCS partners need investment in skills, leadership and organisational resilience. It’s essential that we develop systematic and accredited processes to deliver the necessary education and training.
The emerging picture is of local government doing extraordinary work under extraordinary pressure.
But the future of place-based policy depends on giving councils and communities the tools, stability and capacity to shape local systems, rather than firefighting the consequences of systemic constraints.
- This article is based on a blog originally published by the Institute of Local Government Studies, University of Birmingham. See INLOGOV website to find out more