Powers and Policy Levers: Constitutional Change and Devolution in Wales

Lead Research Organisation: Cardiff University
Department Name: Cardiff Business School

Abstract

The Welsh Government's key policy priorities include promoting economic growth, improving public services and tackling poverty. The Welsh Assembly has been granted a range of powers and policy levers that are relevant to achieving these objectives. But it does not currently have the same powers and responsibilities as the Scottish Government or many comparable regions/small countries in Europe and beyond. It also faces particular challenges associated with the delivery of public services (including health, education and transport) and the management of natural resources across its long and relatively densely populated border with England.

The research will analyse the powers and policy levers that are used by governments in comparable countries/regions and study how these have been used to best effect. It will assess the implications of this evidence from other regions/countries for policy makers in Wales and consider what, if any, additional powers would be likely to assist Welsh Ministers to achieve their policy objectives. It will also study how governments elsewhere manage the cross-border delivery of key public services, with a particular focus on experience from countries/regions which have a strong degree of economic, social and political integration with larger neighbours.

The study will combine reviews of the relevant academic and policy literature; the generation of new evidence through interviews with key policy makers; workshops with international academic experts to draw on experience and expertise from other regions/countries; and a programme of knowledge exchange with Ministers, special advisers and officials.

Planned Impact

Direct beneficiaries of the research will include Welsh Ministers and their advisers and officials. It will also benefit policy makers in the UK Government by increasing understanding of the management of cross border delivery of public services, and it will be of indirect interest to policy makers in other parts of the UK who are involved in constitutional change and devolution, including the proposed city regions in England. It will indirectly benefit users in local government and health service managers in Wales by helping to inform the way in which the Welsh Government works with them. By helping the Welsh Government to maximise the effectiveness of its initiatives to promote economic growth, improve public services and tackle poverty, the research should benefit the people of Wales by securing better policy making and improved outcomes.

There is an on-going debate about the sustainability of the current devolution settlement, and two high profile commissions (on Devolution in Wales and on Public Service Governance and Delivery) have produced recommendations with potentially far reaching implications. In addition, the Smith Commission's proposals could have significant knock-on effects for Wales with outline decisions on the devolution of new powers for Wales due to be announced by 1st March 2015.

The process of constitutional change and devolution has, therefore, reached a pivotal point in Wales. The possibility of devolution of further powers from Westminster to the Welsh Government, combined with fundamental changes in the relationship between the Welsh Government and local government in Wales, presents new challenges for policy makers. In this context, Welsh Ministers need to know how to make best use of the powers and policy levers that are available to them; what new powers, if any, might help them to achieve their objectives; and how to work with the UK Government to manage the cross-border delivery of key public services including health, education and transport and the management of natural resources.

The distinctiveness of the Welsh context and devolution process means that the results of studies of constitutional change in Scotland cannot simply be 'read across' to Wales. There is a need for research specifically focused on Wales to contribute evidence that helps to inform policy - at devolved and UK level. The proposed study will provide new evidence and a platform for future research.

Senior Welsh Government officials have helped to design the research from the outset, and the First Minister for Wales and members of his Cabinet have been consulted on the study's objectives and have endorsed the need for it. Welsh Ministers, their advisers and officials will continue to be involved at all stages in the research. The proposed interviews and knowledge exchange and dissemination activities will ensure co-production of the knowledge and a high level of awareness and uptake of the research findings. Through his role as the Director of the Public Policy Institute for Wales (PPIW), the Principal Investigator has regular meetings with the First Minister for Wales and other members of the Welsh Government. The research will, therefore, engage directly with senior politicians and officials and feed directly into policy debates and decisions. The PPIW's Board of Governors are also influential opinion formers whose involvement will help enhance impact, and the PI has excellent access to senior officers of the Welsh Local Government Association and senior managers in the Health Service which will help facilitate engagement with local service providers. In addition, the PPIW is part of the What Works network which will provide opportunities for engagement and impact outside of Wales, particularly through its contact with What Works Scotland.
 
Description The research studied the ways that Welsh Ministers use the powers and policy levers that are currently available to them and the lessons for future policy making. It was funded through the ESRC's Urgency Grant mechanism in recognition of the need for research on the distinctive and rapidly evolving processes of devolution in Wales.
The research generated significant new knowledge, applied research methods that have not previously been used to study Welsh Government policy making, and opened up new research questions.
New knowledge - The study provided an in-depth understanding of the development of the Welsh 'policy style' and its strengths and weaknesses. In particular it contributed new knowledge about how a government with limited formal powers can use a range of 'tools of government' to develop and implement innovative policies.
We developed new insights into the relationship between 'soft' and 'hard' policy instruments through a case study of Welsh homelessness policy which revealed how the Welsh Government's initial use of 'soft' instruments, including the construction and active management of networks, allowed it to make effective use of 'hard' legislative powers when it received full law-making powers.
Our case study of the attempt to introduce Minimum Unit Pricing of alcohol in Wales demonstrated some of the limits to devolved policy making. It showed that institutional obstacles, policy disputes, and procedural delays in one devolved nation can constrain the ability of another to pursue its policy objectives. This highlights the need for scholars and policymakers to give greater attention to the interconnections between policy making processes across devolved administrations.
New research methods - We co-designed and co-produced the research with senior officials in the Welsh and UK governments and worked closely with them to ensure that they are able to use the key messages from the study. This was a new experience for many officials and enabled us to establish trust with them and demonstrate the value of working with us which in turn paved the way for a longer-term programme of research (see below).
Our study also demonstrated the value of policy reunions which represent a novel approach in contemporary policy analysis. We developed the concept of a reunion, which has previously been used to study historical episodes, to explore a policy that was still unfolding. The fact that participants were still active (as opposed to being retired) presented some methodological challenges, but this approach enabled us to collect high quality data that complemented empirical material gathered through conventional interviews and documentary analysis. Importantly, participants reported that the reunion provided them with a valuable reflective experience, which informed their subsequent practice.
New research questions - The study opened up a range of research questions which are the focus of on-going work which is being undertaken by the PI and Research Associate and their colleagues over the next four years. This includes research into the determinants of effective devolved policymaking, evidence use, and policy learning within and across sectors, as well as a methodologically innovative case study of policy development in real time.
Exploitation Route The research largely met its objectives. As intended, it contributed significant new knowledge about how Welsh Ministers have used the powers and policy levers available to them and which approaches have worked best and why.
We also succeeded in achieving our objective of preparing the ground for a programme of longer-term work on policy making in devolved administrations. As set out in the case for support, the study provided a baseline of evidence of the current state of play in terms of the use of powers and policy levers and established a way of working closely with but independently of Ministers and officials to co-design and co-produce research and apply the learning from it.
We also achieved the academic outputs specified in the case for support. Outputs to date have included summaries of the proceedings of expert workshops and policy reunions, five papers presented to conferences, one paper published in a peer reviewed journal (Political Quarterly), another being revised for publication following review (Policy and Politics), and two further papers that are in preparation.
In the early stages of the research we refined the research questions set out in the case for support in light of discussions with senior policy makers. With the agreement of the then Deputy Chief Executive of the ESRC, we focused the study on the first of the two research questions outlined in the case for support: How Welsh Ministers have used the powers and policy levers they currently have access to and what additional powers might they need. Policy makers identified this as the more important question for them and the second question set out in the case for support (how the Welsh and UK Governments manage cross-border delivery of public services) was seen as less important and more difficult to investigate as relations between the Welsh and UK government became dominated by the referendum on the UK's membership of the EU and then Brexit negotiations. This made the issue of cross-border working of less immediate importance to policy makers and made it more difficult to research because senior civil servants in the UK government who we would have needed to interview were focused on Brexit.
Sectors Government, Democracy and Justice

 
Description Our research has been used by Welsh Government policymakers to understand and improve policymaking and delivery. The report of our March 2016 expert round table on 'Improving Policy Delivery in Wales: the Evidence' was circulated by the Welsh Cabinet Office to senior officials and special advisers as a prompt for reflection on their practice and how it might be developed. A presentation to Welsh Government officials of the principal practical lessons from our research attracted a large audience and led directly to a meeting with the Welsh Government's newly-appointed Head of Integrated Policy. A report on the research's practical lessons for policymaking and delivery has also been sent to the First Minister of Wales. In September 2018, we convened a workshop with the Permanent Secretary, senior directors and academic experts. This informed a report which we circulated to participants and then published on our website, as well as an extended blog on our website by one of the academic participants. The Welsh Government has now asked us to build on the research by conducting more detailed, case-based research on cross-cutting government in Wales. Participants in our research interviews, round table, and policy reunion have told us that they found the project valuable in encouraging them to reflect upon their roles in the policy process and in affording them insights from the reflections of other contributors. The process of conducting the research and disseminating our findings significantly raised awareness of the Public Policy Institute for Wales/ Wales Centre for Public Policy among third sector and local government bodies in Wales. As a result we have been widely recognised as experts in the way that governments such as the Welsh Government can make and deliver policy, and we have been able to apply our expertise through membership of a number of issue-based cross-sectoral (public, private, and third sector) networks and working groups. Through the project, we made connections which resulted in the establishment of a student placement programme with us, involving postgraduate exchange students from the United States studying at Swansea University. This programme, which is entering its third year, did not contribute to the project directly, but arose from recognition of our expertise which we had developed through the project.
First Year Of Impact 2016
Sector Communities and Social Services/Policy,Government, Democracy and Justice
Impact Types Policy & public services

 
Description An expert seminar on improving cross-cutting government (September 2018) 
Form Of Engagement Activity A formal working group, expert panel or dialogue
Part Of Official Scheme? No
Geographic Reach Regional
Primary Audience Policymakers/politicians
Results and Impact The event brought together 20 senior civil servants including the Permanent Secretary and four leading researchers from London and Cambridge Universities and the Institute for Government to explore effective approaches to cross-cutting government.
Year(s) Of Engagement Activity 2018
 
Description Expert workshop on 'Impriving policy delivery in Wales, the evidence' 
Form Of Engagement Activity A formal working group, expert panel or dialogue
Part Of Official Scheme? No
Geographic Reach National
Primary Audience Policymakers/politicians
Results and Impact On 14 March 2016, the Public Policy Institute for Wales (PPIW) held a policy expert panel which brought together an invited group of public service experts and Welsh Government officials to identify and discuss the evidence needs for future public services. Participants included senior academics from across the UK, as well as representatives from Y Lab, the Early Intervention Foundation, What Works Scotland, the Institute of Government, the Office for Public Management, the Public Services Transformation Network, Wales Public Services 2025 and Welsh Government. The panel discussed four themes of central importance to the future of public service delivery in Wales: public service improvement; innovation; place-based approaches and service integration; and user engagement and co-production. The primary impact and contribution of this event came from asking participants to identify the evidence and evidence needs in respect of these issues, so that these may be prioritised and addressed by government and policy analysts. This was crucial to help Ministers identify and meet their evidence needs. The outcomes of the expert panel were then used to inform the work different actors, and especially the PPIW, went on to do to reduce the evidence gap in these areas.
Year(s) Of Engagement Activity 2016
URL http://ppiw.org.uk/exploring-the-evidence-needs-of-future-public-services-ppiw-expert-workshop/
 
Description Powers and Policy Levers in Wales: practical lessons from studies of policymaking and delivery, Seminar for Welsh Civil Servants (14th February 2019). 
Form Of Engagement Activity Participation in an activity, workshop or similar
Part Of Official Scheme? No
Geographic Reach Regional
Primary Audience Policymakers/politicians
Results and Impact A seminar for Welsh Civil Servants to disseminate the practical lessons from studies of policy making and delivery. This also facilitated further engagement and raised awareness of the evidence based research from the Centre
Year(s) Of Engagement Activity 2019
 
Description The development of housing and homelessness policy in Wales: An expert policy reunion 
Form Of Engagement Activity A formal working group, expert panel or dialogue
Part Of Official Scheme? No
Geographic Reach National
Primary Audience Policymakers/politicians
Results and Impact On Friday 10 February 2017 the Public Policy Institute for Wales (PPIW) held a policy reunion at which key actors in the development and implementation of Part 2 of the Housing Wales Act 2014 ('the 2014 legislation') discussed and reflected upon their experiences. The reunion forms part of a case study of the development and implementation of recent Welsh homelessness policy, which sits within a wider programme of research by the Public Policy Institute for Wales (PPIW), funded by the Economic and Social Research Council (ESRC), into the nature and use of the powers and policy levers available to the Welsh Government.
Seven participants ('witnesses'), from the public and third sectors, academia, and the wider Welsh housing policy community, took part in the reunion. All had been interviewed by PPIW in summer 2016 as part of the main data gathering stage of the case study, and were subsequently invited to participate in the reunion on the basis of PPIW's judgement about the importance of their contribution to the making and implementation of the legislation. Of those originally invited, one was unable to participate; another participant was identified slightly later and did participate. Professor Steve Martin, of the PPIW, chaired the discussion, and Professor Alex Marsh, of Bristol University, acted as academic discussant. Dr Andrew Connell and Dr Emily St Denny of the PPIW were also in attendance.
All witnesses were still active within the Welsh housing policy community, and had been asked when they accepted their invitations whether they would be willing for the discussion to be held on the record. Some replied that if it were, they might feel inhibited from speaking openly. The reunion was therefore conducted under the 'Chatham House Rule' of non-attributability. This is a departure from the usual practice of policy reunions, which are commonly designed to produce data upon which scholars can draw, but in this case the PPIW considered that it was an acceptable condition to ensure a free and honest discussion.
A report of the policy reunion is currently being compiled and we also intend to write a reflective methodological article, drawing on our experience of running this reunion as a tool for contemporary policy analysis.
Year(s) Of Engagement Activity 2017