Martin Ford 02 June 2026

Devolution could 'deepen regional imbalances'

Devolution could deepen regional imbalances image
© Casimiro PT / Shutterstock.com.

The Government’s chosen path of devolution could make regional inequality in England worse, a think-tank has warned.

The latest report by Localis said ministers risk ‘deepening regional imbalances’ if they pursued a ‘uniform Greater Manchester style metro-mayoral model’ across the country.

Localis senior researcher, Sandy Forsyth, said: ‘The continued prioritisation of more mature, “established” authorities, the traditional deal-first approach, and top-down control from Whitehall may stifle genuine regional autonomy and reaffirm existing asymmetries in regional development.

‘However, at this crucial moment in time strategic authorities can, and should, be provided with the means to develop strong foundations that can respond to their own, unique place contexts.’

The report said devolution models should reflect ‘individual local economic contexts’ in England’s regions, pointing out ‘not all have a single dominant urban core’.

Instead, growth strategies could be based around town networks, transport links and other local economic relationships.

Further clarity was required on which powers are held ‘regionally and strategically’ by mayors or ‘remain closer to neighbourhoods’ in councils, and on scrutiny arrangements, with a ‘minimum national standard’ recommended.

Localis said early investment was required in analysis and policy capacity, plus financial and risk management.

Ahead of chancellor Rachel Reeves’ publication of a fiscal devolution ‘roadmap’ in the Autumn, the report argues for radicalism, such as the distribution of income tax or VAT.

Whatever is on offer, the report argues ‘uniformity’ is crucial so all regions can reap the benefits.

The report also calls for a shift from incentives based on ‘agglomeration policies’ to growth policies that emphasise network-building.

Adele Gritten, chief executive of report sponsors Local Partnerships, said: ‘This report makes clear that a more place-based approach is needed, one that reflects local areas rather than relying on a single model for all regions.

‘With the right foundations and support, combined authorities are well placed to turn ambition into real outcomes for their communities and economies.’

SIGN UP
For your free daily news bulletin
Highways jobs

Families First Partnership Manager

Nottingham City Council
£58,602 - £62,109
As Families First Partnership Manager, you will play a pivotal role in leading Nottingham’s Families First approach Nottingham, Nottinghamshire
Recuriter: Nottingham City Council

Policy & Performance Officer - EFDC

Essex County Council
Up to £16.0000 per hour
Policy & Performance Officer (Property & Housing Services) - Epping Forest District CouncilEpping, EssexFull-Time | Temporary Contract36 Hours per Wee England, Essex, Epping
Recuriter: Essex County Council

Shared Planning Lawyer

Broxbourne Borough Council
Up to £68,506 pa
Are you a focused, enthusiastic team player who enjoys a varied and interesting caseload? Borough Offices, Bishops’ College, Churchgate, Cheshunt
Recuriter: Broxbourne Borough Council

Occupational Therapist - Physical & Sensory Impairments

Essex County Council
£38487.0000 - £51845.0000 per annum + Hybrid Working
This is a fixed term contract only for up to 10 months.Please note that visa sponsorship is not available for this role. Applicants must have a curre England, Essex, Chelmsford
Recuriter: Essex County Council

Deputy Headteacher

Durham County Council
£66,368 - £73,105
Permanent Contract - Full Time - N.O.R. 341 Required for April 2027 or earlier (if possible)   Due to the promotion of the current post holder, an exc Seaham
Recuriter: Durham County Council
Linkedin Banner