What does the devolution whitepaper mean for the public sector built environment?

Written by Adam Sanford, Head of SCF (South East and London)

The English devolution whitepaper, published on 16 December last year, sets out the government’s approach to accelerate the processes by which it passes powers, funding and programmes from central government to local areas.

The question naturally arises of how this will impact the public sector-built environment.

There are currently 21 counties and 164 unitary authorities up for reorganisation. At a local level, all two-tier areas (with both a county and a borough/district council delivering services) and smaller or struggling unitary authorities will have to develop proposals for reorganisation. This will see larger unitary authorities consolidated, serving areas with a minimum population of 500,000.

In this article, I’ll explore how the devolution process can be navigated to ensure we build sustainable future communities.

Greater scrutiny of existing assets

The shift in responsibility to local authorities will lead to a reassessment of built assets and how they can be better meet local goals.

Combined authorities might consider the occupancy rate and geographical attractiveness of each corporate building. Should the asset be sold, leased, or repurposed? Authorities may consider what disposals can be packaged to make them more attractive. To what extent can assets be redeveloped to maximise receipts from them?

All this will encourage collaboration with community organisations, or other public bodies to align asset strategies with regional goals. For example, an asset might be able to be redeveloped in order to attract private investment, with sale proceeds contributing to regeneration.

Greater autonomy for local authorities

Devolution will also give councils more control over budgets, planning and project delivery. This allows them to decide how and when to engage private contractors for regeneration schemes or infrastructure development.

Frameworks that operate a two-stage procurement process will be integral in this process. Combined authorities can deliver projects efficiently and to budget and involve pre-approved private sector partners that have a deep understanding of local need.

Growing local green agendas

The government is set to give strategic authorities environmental planning powers. These include delivery of “local sustainable energy generation” and “expanding strategic authorities’ role in leading local nature recovery strategies.”

Devolved authorities will have the opportunity to set the direction for these projects, and make their regions attractive to developers, investors and businesses focused on sustainability.

Through energy-efficient designs or retrofitting existing assets, these can produce significant long-term savings for authorities to inject funding in alternative development projects. It will help generate jobs in green construction, contributing to local growth.

Looking forward

The devolution whitepaper might not have been universally welcomed, but is a key priority of the government, and brings many opportunities for the sector. It will be key for innovation – enabling authorities to collaborate with key stakeholders to ensure local challenges are addressed. It is also key for innovation – enabling authorities to collaborate with key stakeholders to ensure local challenges are addressed.

However, the devil is in the detail and central government must prioritise its plans if it is to complete such a thorough reorganisation by the end of this parliament.

© 2026 National Association of Construction Frameworks - Website by Blaze Concepts
Phase 4 Public Sector Decarbonisation SchemeHow could a Combined Authority help drive investment in my area?