How to Get Government to Work For Us...

Paul Collier wrote an interesting piece in the New Statesman recently called “How to get government to work for us”. His main point was that real issue isn’t that Britain’s government spends too little. It’s that the whole system is set up the wrong way.

Collier says too much power sits in Whitehall. Local governments have to handle responsibilities, but they don’t get the money or freedom to actually solve the problems.

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Too Much Central Control

Collier points out that the central government directly controls about 80% of England’s public spending. In Germany, local governments control much more, and this makes a difference.

Look at road maintenance. Instead of giving councils steady funding to fix roads before they go bad, Whitehall waits until potholes show up, then doles out special funds. Local councils waste time writing bids for money instead of just getting on with the repairs—which would’ve been cheaper to start with.

This doesn’t stop with roads. Areas like housing, planning, transport, social care, and policing run into the same issues. Local authorities are expected to deliver, but they’re left depending on approval (and cash) from the center.

Local Decisions, Local Results

Sociologists have said it for years: things work best when the people making decisions actually know the place. Someone in charge of one town will always have a better sense of local problems—traffic, nuisance hotspots, housing pinch points—than someone sitting in an office in Westminster.

Of course Local government can be clumsy or inefficient too, but generally local control of the money means more efficiency.

But Collier’s bigger point is about incentives. When councils have the power and the purse strings, residents know exactly who to thank—or blame—come election time. Responsibility becomes clear, instead of being lost in the back-and-forth between councils and government departments.

Breaking the Whitehall Habit

Collier ends with a blunt claim: Britain needs to break what he calls the “culture of elitism” in Whitehall. He argues that Britain has grown more and more centralized over the years, no matter which party is in charge. Powers keep drifting back to Westminster instead of moving outwards.

That means endless national plans, funding contests, consultations, and reorganizations—each consuming time and admin effort, but not necessarily giving the public better services.

Collier isn’t picking sides in the “big state or small state” fight. He’s interested in something simpler: making the state competent.
At the end of the day, filling potholes, approving planning, running schools, fixing transport—these things don’t need another grand Whitehall blueprint. What they need is simple: give strong local institutions the powers, money, and flexibility to get on with it.

Maybe Mr Burnham is the answer, after all...?

Sources

Paul Collier, “How to get government to work for us,” The New Statesman.
Institute for Government (2025), research on central and local government reform and devolution in England.



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This is similar to federalism in the USA. While the federal government has ultimate jurisdiction, there are only so many rights given to it by the Constitution. Any rights not enumerated there are reserved for individual state governments, making for a somewhat more local governance. It further breaks down to county government and municipal government. As you might imagine, this does cause some overlap.

But even with the overlap, things seem to get done. There are city streets, county roads, state roads, and federal roads. Each are funded separately. Although there is some variance in road quality from city to city, depending on budget and priorities.

Where the federal government manages to exceed its powers is by attaching money to their rules. Medicare and Medicaid, for example, are federal healthcare programs managed by each state. In order for the states to receive the money, they need to comply with the federal rules. Some states, like Texas, have other programs like CHIP (Children's Health Insurance Program), that are completely funded by the state without interference or requirements from the feds. Local counties will also tend to have funds or clinics for indigent care. The rest is made up with local nonprofit clinics.

In short, it is possible to decentralize financial control. I think the shortest path, assuming nonprofit contributions are tax deductible, is to fund local nonprofits. It denies the central government the money and ensures that the funds stay within the community.

Something that has fallen by the wayside is funding local parishes. The charity they provide has diminished as government has taken up much of the market. Churches, in my opinion, are a better use of money as they are, in principal, aligned with the interests of parishioners.

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The Arithmetic of Futility

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