Business Cases and Place-Based Funding

This report critically examines the application of the Better Business Case Green Book model by practitioners when seeking to secure past place-based economic development funding. The business case framework is used to appraise and manage the development of an intervention, as set out in the HM Treasury’s Green Book guidance.

The report systematically reviews and analyses evidence within 134 business cases developed by sub-national institutions submitted to 3 place-based economic development funds. Drawing on HM Treasury’s Green Book guidance, the report evaluates the quality of business case construction and appraisal, particularly in relation to the development of specific, measurable, achievable, realistic, time-sensitive (SMART) objectives, place-based value-for-money assessments, and systemic biases in funding methodologies.

“Sub-national institutions face significant challenges in developing robust business cases due to limited resources, training challenges and over-reliance on consultants. This has led to a cycle of dependency and weakened institutional expertise.”

Alice Pugh, Senior Economic Analyst, City-REDI, University of Birmingham

Policy makers and sub-national governments should prioritise developing capacity and capability in the development of business cases, improving the accessibility of training, establishing business case networks, implementing a supportive application process, and enhancing the application of place-based appraisal within value for money assessments.

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Meet the Author

Alice Pugh

Alice is a Senior Economic Analyst at City REDI with significant experience in appraisal and evaluation. Alice led the development of several economic impact assessments across a variety of projects, programmes and institutes. Including having completed some of this work whilst on secondment to both Greater Birmingham and Solihull Local Enterprise Partnership (GBSLEP) as Research and Intelligence Manager and the Centre for Local Economic Strategies (CLES) as a Senior Data and Policy Analyst. Developing economic impact methodologies, measuring the impact across a variety of outputs, including impact at varying geographical scales and across differing demographic groups. Additionally, Alice leads on economic impact assessments within evaluations, with these evaluations having led to just under £4m in additional funding across several projects for partners.

Alice is also an HM Treasury Green Book Better Business Case practitioner, leading on business case development team at City-REDI, working with partners to develop business cases when developing projects and/or programmes. Focusing largely on the development of value for money models, similar to economic impact assessment models. Alice has supported the securing of over £86m in government funding for various projects and programmes for partners. As part of this, earlier in the year, Alice also provided expert advice to HM Treasury for the review of the Green Book. From November, Alice will also be seconded to MHCLG as part of the Analysis and Data Directorate.

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Publications

Towards an Integrated Understanding of Place

This report draws together evidence from across the Local Policy Innovation Partnership (LPIP) Hub’s extensive programme of evidence reviews, briefings and supporting publications. It asks what becomes visible when evidence on skills, innovation, communities, culture, environment, governance, leadership, data, business cases and partnership working is considered holistically. It finds that

Putting Place at the Heart of Growth: How Evidence Can Make Multi-Level Governance Work

On 27 September 2026, the Labour Party Conference fringe event, Putting Place at the Heart of Growth: How Evidence Can Make Multilevel Governance Work, brought together policymakers, researchers, local government leaders, universities, colleges and organisations working across communities and regions. Provocation Before the event, attendees were sent a provocation. The

Place-based Business Case and Economic Appraisal: Capacity and Capability

This report, by Alice Pugh, City-REDI, University of Birmingham, examines the capacity and capability of officers working in strategic authorities to develop, commission, scrutinise and use business cases and economic appraisals, while also considering the implications of devolution for place-based investment and assurance. The report draws on a mixed-methods survey

Local Innovations, Shared Lessons: Unpacking HDRC Community Engagement and Partnership Working in London

This research report focuses specifically on public and partner engagement across London’s Health Determinants Research Collaborations (HDRCs) and comparator boroughs, evaluating how local authorities are reshaping collaborative networks to address health inequalities. The study draws on 18 semi-structured interviews across six London local authorities: Islington, Tower Hamlets, Ealing, Lambeth, Southwark,