Title

The return to devolved government in Northern Ireland has been recognised as a historic step in the governance of Northern Ireland. But while attention is currently focused on changes to the province's central government, local authorities might find it timely to review ways in which they can improve the efficiency of their services. And this could include the use of arrangements for shared services English local authorities have already been considering using shared services arrangements to help meet savings targets. Local authorities in Northern Ireland will be equally interested in improving efficiency, but they will consider it in a very different context. Local government in Northern Ireland already differs greatly from that of England, Wales and Scotland. Currently, 26 district councils are responsible for some local services, while other functions relating to local services are undertaken by government departments and agencies, in consultation with local authorities. So, the scope for being able to share services is limited. Significant changes are expected in the provision of public services in Northern Ireland. In November 2002, the Northern Ireland Executive launched a review of public administration (RPA), with proposals for reform being announced in 2005 and 2006. These included: the number of councils to be reduced to seven, each with about 60 councillors councils to have a wellbeing power councils to be required to publish community plans, having consulted with constituents and worked with other statutory agencies to produce these. It was previously expected that legislation to establish boundaries for new councils would be in place by December 2007, and that the new councils would be fully operational by spring 2009. However, the significant developments which have taken place concerning government in Northern Ireland has meant the timetable for reform at a local level has slipped. A time of uncertainty about the future of local government may not seem an obvious time for local authorities to be considering new arrangements, such as shared services. Nevertheless, it would be appropriate for local authorities to consider what immediate benefits their communities could derive from such arrangements, while ensuring that they allow for appropriate exit or transfer arrangements to be available, in the event that large-scale reform of local government goes ahead. Although there are several ways in which local authorities might work together, in legal and administrative terms, these can be grouped into three main models – the administrative model, the corporate model, and the contractual model. There is sometimes said to be a fourth model – the collaborative model. This is a more informal model in which authorities may make arrangements to co-operate over something, for example, the shared use of a resource, without going to the extent of delegating the function or entering into a contract. The corporate model is not currently an option for local authorities in Northern Ireland, as they do not have the power to set up companies, except to convert joint committees to companies, with the secretary of state's consent. This is expected to change with future legislation. Each model can provide advantages for local authorities seeking efficiencies through shared services. However, they must consider the legal and practical implications of the proposed use of any of the models in any specific situation. For example, there is potential for public procurement legislation to affect the use of any of the models, and individual local authorities will need to consider what impact it will have on their proposed arrangements. Although it is still unclear exactly how and when local government reform in Northern Ireland will be implemented, if it follows the pattern of the proposals which have come forward so far, there are likely to be fewer councils with more powers. The use of shared services arrangements could help those local authorities to deliver their functions effectively. Denis Cooper is a senior associate, and Clare Hardy is a solicitor with Eversheds

Title

WHITEHALL

Steps to savings in NI

SUBSCRIBE TO CONTINUE READING