March 06, 2006

The Future of Local Government debate

The Office of the Deputy Prime Minister (ODPM) is leading on the development of a ten year vision on the future of local government that aims to develop a strategic, long- term cross-government vision, for local government which will deliver improved outcomes for local people.

As local authorities work in partnership with many other bodies it is recognised that the strategy should look at the range of local government relationships and the roles other sectors have to play. A number of measures have been introduced to facilitate the vision.

Local Area Agreements (LAAs) Introduced in 2004, LAAs are agreements between central and local government that give local authorities more flexibility in how they allocate budgets to address locally identified needs.

By 2007 all authorities will have LAAs in place and in conjunction with the voluntary and community sector (VCS) local authorities will work to identify and deliver the outcomes in their LAA.

ODPM guidance stresses the role of the VCS in helping to identify, shape and deliver local services, and that increased community engagement is a mandatory outcome for the Safer Stronger Communities fund (SSCF). All LAAs will be expected to include a statement of community involvement and guidance for local authorities on making VCS engagement in LAAs work has been issued.

Neighbourhood Renewal Fund & Safer Stronger Communities
On 21st July the ODPM made an announcement about the allocations of NRF and SSCF monies for the next two to four years. £1.05 billion NRF money will be allocated over the next two years (06/08) to the 80 most deprived local authorities in England of which Newham is one.

Confusion over the future funding for Community Empowerment Networks (CENs) still exists as the Single Community Programme (SCP) which presently funds CENs, has now been rolled into the SSCF along with a number of other ODPM and Home Office funding streams.

There are particular concerns about the extent to which these arrangements will facilitate appropriate engagement of the VCS at strategic/LSP level.

SSCF implementation guidance makes it clear that funds for CENs will be 'passported' for 05/06. An element of SSCF will then core fund CENs for 06/07 to enable them 'to co-ordinate, on behalf of all partners, the LSP's community empowerment activities'.

After this, the requirement for 'passporting' will be withdrawn with the intention being that by 07/08 the value of CEN activity will be recognised, and the CEN/LSP relationship sufficiently robust, for the funding of CEN's to be agreed through the SSCF on an on-going basis.

Increased community engagement is a mandatory outcome of the SSCF and Government Offices will be able to reimpose the requirement to passport funds to CENs where if it considers funding arrangements undermine partnership working.

Where relationships are already working well and robust CEN’s have been built up over the last five years, there is likely to be a different experience to those in areas where engagement mechanisms are more problematic.
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Edited from an NACVS article October 05. For further information visit www.nacvs.org.uk.

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