Public sector growth: how the Prime Minister can act fast
ArticleNew Prime Minister Andy Burnham signals a focus on delivery, defence investment and place-based growth. What does it mean for public sector leaders?
By: Rob Turner
19 Aug 2025 2 min read

Set against the backdrop of the Government’s renewed commitment to devolution—most recently articulated in the English Devolution White Paper and the English Devolution Bill—our report explores how greater fiscal autonomy could complement the wider devolution agenda. It focuses on the County Councils Network (CCN) authorities, which represent 45% of England’s population but have, to date, seen limited access to devolved powers and funding.
The report provides analysis of the fiscal position of CCN authorities, including their estimated contributions to national tax revenue and levels of public expenditure. In 2022/23, CCN areas generated £387 billion in tax revenue—43% of England’s total—but received only 39% of identifiable government expenditure.
To inform the debate, the report models the potential impact of devolving five fiscal levers – income tax, National Insurance Contributions, Stamp Duty Land Tax, a tourism tax, and the Apprenticeship Levy – and finds that even modest changes could deliver billions in additional funding for local areas. These scenarios aren't policy recommendations but are intended to stimulate discussion about the potential scale and distributional impact of fiscal devolution. The modelling suggests that while individual measures may create regional disparities, combining multiple fiscal tools could help reduce them and spread opportunity more evenly.
By exploring the potential for local authorities to retain a greater share of locally-raised revenue, the report contributes to the ongoing debate about how to support place-based growth, reduce reliance on central funding, and align local incentives with national priorities.
If you're interested in discussing devolution policy and how to maximise opportunities for your area or would like a tailored data pack exploring the implications for your authority, get in touch with Rob Turner.
New Prime Minister Andy Burnham signals a focus on delivery, defence investment and place-based growth. What does it mean for public sector leaders?
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