Effective Governance Forum

Writing yesterday, in The Times, @TimKnoxLondon responded to the news that Ministers could delay shipbuilding in £10bn MoD budget cut by making the argument for better leadership and management 👇

The prize is large. The productivity gap is already costing around £80bn a year — rising to £170bn by 2030 if unaddressed. Improving how government works determines whether the state can deliver what it promises.

If those change: Manifesto commitments become credible again. Public sector productivity improves. Public trust begins to recover.

Governments are elected on highly visible promises. Whether those promises can be delivered depends on something much less visible: the capability of the state itself.

Striking statistic. But the real question is not about individuals — it’s about how the system manages performance. In many parts of government, management is treated as a secondary activity and leaders lack clear authority and incentives to address underperformance. Until management capability and accountability are strengthened, these patterns are unlikely to change. Our report on Effective Management of UK Government can be found here: static1.squarespace.com/static/63be30a…

@NeilDotObrien Question is why do systems produce such numbers?Often mngt treated as secondary activity & incentives poorly aligned with performance. So addressing underperformance hard even for capable leaders. Improving mngt capability & giving leaders authority to use is essential.

Today's Telegraph covers my research into the need for civil service reform

Numbers in forecasts matter. But sustainable outcomes depend on good financial information, clear responsibility and aligned incentives — not just accounting figures. bbc.co.uk/news/live/cwy8…

@FT today carries a review of what Reform has learnt from its first taste of power. There is a broader and more systemic point to be made - Local authorities are legally required to balance budgets, but have limited control over revenue and growing statutory obligations. That tension makes durable reform difficult — regardless of which party is in charge. Genuine decentralisation would align responsibility with financial control. We set this out in our report 'Effective Decentralisation.' You can access a copy here: static1.squarespace.com/static/63be30a…

@CapX Yes. Sensible people with experience of running things, with low egos working together honestly and with an actual plan can turn it around. It doesn’t have to be this way…and one day it won’t.

“Ben Judah is right in saying that ‘No 10 needs an overhaul’ but it is not the great expansion in political special advisers he advocates. Whether people liked or disliked what Margaret Thatcher did, it is generally agreed that she got things done. She did it by appointing the best available managers, from outside the civil service when necessary, delegating power to them and holding them accountable to a small centre in which she played the central, and often terrifying, role.” This from former Cabinet Secretary Robin Butler, as published in The Times today.

'rather more important than another change in personnel: the strategic transformation of the machinery of government, based on the implementation of the basic principles of good management'. @TimKnoxLondon getting to the heart of the matter in this @CapX article: capx.co/can-anyone-gov…

When experienced insiders conclude that “it’s not about people but structures”, that should prompt serious reflection. The UK has the worst of both worlds – a highly centralised government without the capacity, clarity, and management discipline to guarantee delivery. As EGF showed last year, leading companies are showing the better way: put power in the hands of frontline teams, shrink the corporate centre and use that centre to set a clear vision and analyse data from across government. static1.squarespace.com/static/63be30a…

The state is failing — No 10 needs an overhaul #Echobox=1771218570" target="_blank" rel="nofollow noopener">thetimes.com/comment/column…

If, as written in The Times this week, Antonia Romeo would ‘rewire the state’ should she be appointed as the first female Cabinet Secretary it is to be welcomed. When the centre accumulates functions, rules, and oversight, departments often lose the ability and confidence to manage themselves. Overcentralisation undermines delivery and capability.

In large, complex organisations, poor outcomes are rarely caused by a lack of policy. They are usually caused by weak management, blurred accountability and misaligned incentives. We explore this in Effective Management of UK Government: static1.squarespace.com/static/63be30a…

A renewed focus on financial management is welcome. As the NAO notes, this is not about headcount but about expertise, incentives and leadership — the foundations of better value for money.

@FT is reporting that HMT is offering exit packages of up to £100k in an attempt to cut hundreds of jobs. Treasury exit packages may well reduce headcount in the short term. The harder questions are whether the right people leave — and whether incentives change so numbers don’t simply grow back again. Without reform to performance, roles and incentives, this risks being a pause, not a reset.