LCER believes that good democracy requires decisions to be taken as close as possible to the people who are affected by them. For us, devolution is a critically important feature of a healthy political landscape, but in spite of Labour’s achievements, Britain remains one of the most centralised states in Europe.

Labour's record in office

Under the 1997 Labour Government:

  • The Northern Ireland Assembly was set up in 1998, following the Good Friday Peace Agreement
  • People in Scotland and Wales were given a vote on whether they wanted devolved government, following which the Scottish Parliament and the Welsh Assembly (Senedd Cymru) were established in 1999.
  • The London Assembly and a directly elected mayor were established in 2000.
  • The Local Government Act of 2000 established a range of options for the leadership of local councils, including directly elected mayors.

Labour also proposed the creation of Regional Assemblies in England. In 2004, the North East was the first region to put the proposal to its electors but, in a referendum, they decisively rejected it. 

After Labour gave London a directly-elected mayor, several other areas of England followed London’s example. Not all mayors were Labour, but it was the Labour mayors who demonstrated the way in which mayors could provide strong local leadership. 

The Brown Commission

The report of the Brown Commission presented a suite of radical proposals for devolution. The report highlights the role of over-centralisation as a driver of economic stagnation and corruption.

"When we should be unleashing the potential for growth and opportunity in every part of our country, the continuing over-concentration of power in Westminster and Whitehall is undermining our ability to deliver growth and prosperity for the whole country". (p2)

Headlining with The Right Powers in the Right Places, the report outlines:

"Our starting point is a modern system of decision making that does not start from the top - but starts from the people and is grounded in new ways of consulting, participating, and deciding." (p8)

The English Devolution and Community Empowerment Act 2026

Back in government, Labour’s efforts to devolve powers continued with the passage of the English Devolution and Community Empowerment Act 2026. This Act, which officially passed into law on April 29, 2026, establishes a new tier of 'Strategic Authorities' to shift key powers over planning, transport, and economic regeneration directly from Westminster to the regions.

Key measures of the Act include:

  • Community Rights: Introduces a "Community Right to Buy," giving locals first right of refusal on valued community assets, and extends listing periods to 10 years.
  • Planning & High Streets: Empowers councils to issue Gambling Impact Assessments to limit new betting shops and introduces a ban on Upwards-Only Rent Review clauses in commercial leases (which uniquely applies to both England and Wales).
  • Transport & Safety: Grants local transport authorities new powers to fine for dangerous pavement parking and establishes national standards for taxi and rental e-bike licensing.
  • Electoral Changes: Restores the supplementary vote system (allowing first and second choices) for all mayoral and Police and Crime Commissioner elections.

A new Prime Minister and a new commitment to devolution

On becoming PM in July 2026, Andy Burnham promised a radical programme of decentralisation with much greater financial powers being given to regional leaders. His decision to create ‘No. 10 North’ demonstrated his commitment to transferring powers from Westminster. He has also hinted at the need for a new, written constitution to entrench devolved powers and provide clarity in the relationships between different parts of the state.

Issues and debates

In spite of the progress that Labour has made, there are areas where further discussion and debate is needed. These include:

  1. The relationship between Westminster and the Scottish Parliament and Welsh Senedd: Holyrood and Cardiff have been given powers not available to English regions and the asymmetry has created tensions. The West Lothian question (asked by Tam Dalyell, former MP for West Lothian) – as English MPs cannot vote on matters devolved to the Scottish Parliament, why can Scottish MPs vote on the same issue when they arise in England – has never been satisfactorily answered.
  2. Devolution has also raised internal party issues – the Leader of the Scottish Labour Party leads a team of MSPs, but Scottish MPs are subject to a whip from Westminster.
  3. Although the Brown Commission produced a long list of recommendations, very few of them appear to have been considered.
  4. The creation of mayors for strategic authorities has resulted in a transfer of powers from the centre, but there is lingering unease at the extent to which power is being given to individuals (albeit democratically elected) rather than democratic bodies and questions over whether mechanisms for accountability are sufficiently robust.
  5. There are concerns that areas not covered by major authorities will not receive the same devolved powers and resources as other areas. Although there has been pressure on local authorities to form wider, mayor-led, there is a risk that some strategic authority areas will lack any sense of cohesion and identity.
  6. The push for large unitary authorities has sucked powers from district and town councils, resulting in people feeling that decision-making on, for example, planning issues is no longer local. For some, local government is being replaced by more remote regional government. While some council services can be provided more effectively on a scale larger than district level, these economies can generally be achieved without the need for authorities covering several hundreds of thousands of people.