Published on 15 June 2026
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Time to rebalance

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As local authorities across England navigate a period of profound challenge and rising statutory demand, the dominant national narrative has increasingly reduced the sector to delivering statutory services. Yet, this deficit-focused perspective overlooks the unique reach, democratic legitimacy, and place-shaping potential that councils truly hold. Grounded in the frontline experiences of Northumberland — where transformative initiatives like the reopening of the Northumberland Line showcase the enduring power of collective action — Dr Helen Paterson argues for a fundamental rebalancing of the story we tell about local governance.

Local government in England is experiencing a period of profound challenge as well as significant opportunity. Councils are confronted with high and rapidly increasing levels of demand for statutory services, placing pressure on their capacity and resource. 

Local government and the current debates around it are increasingly viewed through the lens of social care and special educational needs and disabilities (SEND). This fuels a media narrative that is focused on a narrow set of service challenges, is largely negative and obscures the wider role of councils. While funding is undeniably challenging, we have the opportunity to look at how local government’s democratic legitimacy and local reach can develop a more positive narrative, by instead focusing on its often-unseen wider role in shaping the future of communities and places.

Erosion of social infrastructure

Today’s operating environment is more constrained than at any point in recent history. Rising demand for statutory services, alongside sustained reductions in core funding over the past 15 years, has reshaped local authority finances, and with them, the public narrative about the sector (Institute for Government, 2025).

Adult social care and SEND rightly command significant attention. These services are essential to protecting and supporting the most vulnerable residents. However, the scale of financial pressure they generate has narrowed how local government is understood. Increasingly, councils are viewed primarily through the lens of crisis management in statutory services, with success measured by how effectively they respond to rising and often unavoidable demand.

One consequence has been a gradual erosion of not only focus, but also investment  in the services that most residents encounter daily: public spaces, environmental services, transport, culture, leisure, planning and place-shaping. These are the services that shape how people experience where they live, work and spend time. They are fundamental to what makes somewhere a good place to live and can help to reduce demand on the acute services that local government provides.

This shift is not the result of poor decision-making. It reflects rational choices in a system where statutory obligations must take precedence. However, it raises an important question of what happens when the universal foundations of everyday life are allowed to weaken? A growing body of evidence suggests that declining investment in local services and neighbourhood conditions is associated with weaker social cohesion and lower trust in institutions. Research highlights that people’s day-to-day experiences of place, such as safety, service quality and local infrastructure, shape both their sense of community and their confidence in public institutions (United Nations DESA, 2024) (World Health Organization Europe, 2023) (Crest Advisory, 2025).

National policy increasingly recognises this importance, with growing acceptance that strong neighbourhoods and social capital are not by-products of growth but conditions for it. Yet in practice, these are often the services most vulnerable to budget pressures.

Most residents benefit from their council long before they require statutory support. Working-age adults and young people below intervention thresholds may have little direct contact with social care or SEND services, but they experience local government decisions every day through the quality of roads, public spaces, schools, public health provision, and opportunities for social and cultural participation.

Because these benefits are preventative and indirect, their value is often overlooked. When investment declines, impacts tend to emerge gradually but cumulatively: fewer shared spaces, declining environments, and reduced confidence in whether institutions are working in the public interest. At the same time, this is where future demand begins to build.

There is strong evidence that sustained investment in social and physical infrastructure reduces long-term pressure on acute services (CIPFA, 2025). Healthier, more connected communities are more resilient and better able to respond to change. However, their value extends beyond prevention. Transport, public spaces, cultural assets and local environments directly shape quality of life. They foster pride in place (Shaw, Garling and Kenny, 2022), strengthen social connections, and support economic activity.

How these services are framed matters. If treated as optional, they are easier to deprioritise. When recognised as central to wellbeing, place and economic vitality, as part of the Universal Basic Infrastructure of a place, they become core to the purpose of local government.

Their visibility also matters. Residents experience local government most directly through everyday services such as pothole filling, waste collection, lighting and the condition of public spaces. These tangible indicators shape perceptions of whether an area is cared for. As a result, they play a central role in civic confidence. When they function well, they reinforce trust and participation. When they decline, confidence erodes, even if less visible services continue to operate effectively.

Local government’s legitimacy is therefore not defined solely by statutory responsibilities but reinforced daily through the quality of the places it helps to sustain.

Case studies from Northumberland

Local government has always been shaped by pressure. Over the past 150 years, councils have repeatedly adapted their role in response to social, economic and health challenges. From the municipal reforms of the 19th century to the post‑war welfare state and more recent place‑based innovation, councils have shown a remarkable ability to evolve. Leaders like Joseph Chamberlain understood something that remains relevant today: improving people’s lives required collective action rooted in place. Housing, sanitation, education and public infrastructure were not peripheral concerns, they were central to wellbeing and prosperity. 

In Northumberland, we have our modern-day equivalents. Whilst the dominant media narrative seems to portray councils as vehicles to managing decline, our work in Northumberland proves otherwise.

Our re-opening of the Northumberland Line in 2024 some 60 years after it was closed (Northumberland County Council, 2026) has opened access to jobs and further education in Newcastle and the wider region. Alongside this we have also attracted game-changing investment in a £10bn data centre in the county’s southeast which brings with it a £100m Growth Fund (Northumberland County Council 2026).  And we continue to invest significantly in new schools, post-16 education and leisure centres. 

These are all policies with a strong social purpose aiming to help improve the outcomes for everyone in Northumberland. 

These examples show that local government is at its strongest when it acts with confidence in service of place, rather than simply as an administrative arm of the national state. 

Our County Partnership in Northumberland is an example of the kinds of collaboration that are being seen across local authorities. Despite the constraints, many councils are already finding ways to work differently. Place‑based approaches, anchor institution partnerships, integrated wellbeing strategies and cross‑sector collaboration are increasingly common. These approaches share a common feature: they treat communities themselves as assets, not just as service users. They recognise that local government’s role is often to convene, enable and invest for the long term, rather than to act alone.

With the right frameworks, place‑based investment can become more visible, more measurable and more sustainable. This does not require abandoning national policy structures, but rather a re-balancing. It requires flexibility, longer‑term thinking and a funding system that recognises prevention and wellbeing as optimum outcomes. And it is elected members, as stewards of their places, who are pivotal in unlocking this place-based potential. National government needs to give local members the maximum possible latitude to do that shaping.

A forward looking model of Local Government 

During this period challenge and opportunity, local government must be empowered to embrace new opportunities if it is to thrive, rather than being further constrained.  Structural and funding reforms should empower councils to invest early, widely and locally, strengthening the everyday foundations that sustain communities.

The future of local government is not only about responding to need, but about creating the conditions in which people and places can thrive. Reinvesting in the fabric of place is not nostalgia for past municipalism. It is a practical, forward looking response to the challenges ahead, and a way of rebuilding confidence in local government itself.


The views and opinions expressed in this post are those of the author(s) and not necessarily those of the Bennett School of Public Policy.