Exploring the Concept of Governance Capacity

This short report summarises the findings from a Local Policy Innovation Partnership (LPIP) Hub workshop carried out to explore the concept of governance capacity as a critical enabler of effective regional development and inclusive growth. Hosted by the LPIP Hub and led by Dr Charlotte Hoole, the session brought together stakeholders from across the UK’s four LPIPs to examine how governance capacity is defined, measured, and distributed. The discussion aimed to unpack the complexities of sub-national governance, particularly in the context of ongoing reforms in England and the growing interest in mission-driven government. Participants were encouraged to reflect on the meaning of governance capacity, the feasibility and value of measuring it, and how it is unevenly distributed across regions and actors.

“There is a pressing need for central government to engage more meaningfully with regional voices” Dr Charlotte Hoole.

The report urges researchers and policymakers to prioritise the development of context-sensitive frameworks for understanding and measuring governance capacity, grounded in real-world case studies. It calls for a deeper investigation into informal governance mechanisms, such as trust-based relationships and collaborative practices, which are often overlooked but essential to effective governance. The report also highlights the need to evaluate the role of anchor institutions as conveners and capacity-builders within governance ecosystems. Additionally, it advocates for comparative research, especially with federal systems abroad, to inform the UK’s evolving English devolution agenda. Finally, it stresses the importance of developing and testing composite metrics and mixed-methods approaches to better capture the relational and contextual dimensions of governance capacity in a scalable and evidence-based way.


Meet the Author

Dr Charlotte Hoole

Charlotte Hoole is a Research Fellow at the City-Region Economic Development Institute (City-REDI). Her research broadly considers the geographical and political economy of local and regional development, governance and policy. Her current work focuses on English devolution and public funding allocation in the UK. Prior to this, she has worked on projects looking at the impact of governance structures in the formulation of place-based policies and central-local relations, and their role in shaping regional disparities.

Publications

Dialling Up Democracy in the 21st Century: Pathways for Renewal

This policy working paper explores how democratic innovation can help renew trust, participation, and legitimacy in the UK’s democratic system. Building on earlier LPIP work on social value and community-centred innovation, it examines the social, institutional, and structural pressures currently facing democracy, particularly in the context of devolution and regional

Developing Place-Based Green Industrial Policy in the UK

In this report, Ed Atkins argues that green industrial policy in the UK must be rooted in place. Through the review of cases of Vestas in the Isle of Wight, BiFab in Scotland, and Britishvolt in north-east England, he illuminates how gaps between political ambition and political economy have led

What Are Place-Based Business Cases?

This report explains what a place-based business case is and how such cases can support more effective, strategic, and accountable investment decisions across local and national government. Drawing on insights from the Green Book review and City-REDI research, this document outlines three potential purposes for place-based business cases: funding gateways,