LGA Corporate Peer Challenge: Devon County Council

A team of local government peers, drawn together by the Local Government Association (LGA), delivered a Corporate Peer Challenge (CPC) of Devon County Council from Tuesday 10 to Friday 13 March 2026 inclusive. This was the council’s latest corporate peer challenge, albeit the previous one was in 2016. 

CPC is a well-established and respected improvement and assurance tool that provides robust, strategic and credible challenge and support to councils. Further details about the CPC process can be found in Appendix A.

The peer team consisted of experienced and knowledgeable senior local government elected member and officer peers (see section four). We considered the five core areas covered by all CPCs: local priorities and outcomes; organisational and place leadership; governance and culture; financial planning and management; and capacity for improvement.  

This report provides Devon County Council with feedback on the peer team’s findings. It provides a set of high-level recommendations along with further detail within each of the CPC’s core areas. There is an expectation the council will publish this report and draw up a clear action plan to respond to the recommendations.  
 

In 2022 the council’s long-standing chief executive retired, followed in 2023 by a new permanent appointment at that level and, subsequently, the creation of a new managerial leadership team. There has been a major focus during the last couple of years on establishing the fundamental aspects of a well-functioning council. 

The May 2025 elections saw the council move to a position of no overall control, with a minority Administration formed following many years of continuous majority control. The elections also created a more diverse elected membership and eighty per cent of those elected were new to the county council, with many new to local government altogether.

In September 2025, Full Council adopted a new Strategic Plan running through to 2029. At the heart of this is a vision of ‘building a positive future for Devon where everyone thrives’. Children’s services improvement has been an on-going challenge for Devon over a number of years. The council’s commitment to children and young people and care leavers is now palpable. Revised Cabinet portfolios reflect this and also the priority being attached to rural affairs.

The members of Cabinet have brought energy, enthusiasm and constructive challenge to the organisation. There is a strong and trusting relationship between the leader and the chief executive and this is mirrored in good relationships within and between Cabinet and the senior managerial leadership of the organisation. 

Work has been taking place to enhance the council’s corporate approach to performance management. It is crucial that the effort and resources being dedicated to this makes a tangible difference in the form of improved performance and outcomes in the council’s priority areas. 

The staff we met at different levels of the council consistently spoke positively about the change that has taken place in the organisational culture in the last couple of years. This is the result of conscious endeavour and insightful managerial leadership, aided by an organisational willingness to invest the necessary time and resources. Central to what has been achieved is the principle of ‘one council’, the ‘People First’ strategy and a strong emphasis being placed on the council ‘growing its own’. What has been established is reflected in a range of improving and impressive workforce statistics.

Staff that we met spoke of feeling trusted and empowered and very clearly articulated and demonstrated their passion and enthusiasm for their work, their fulfilment and their sense of growth and personal development. Staff spoke of now having a much greater understanding of the wider organisation, the complex and cross-cutting nature of the ‘wicked issues’ facing Devon and increased collaboration. 

The council is effectively engaged in a wide range of successful operational partnership and joint delivery activity. However, the state of relationships between the councils in Devon at the strategic level, in a context of Local Government Reorganisation (LGR), was widely commented upon by partners that we met from across a range of sectors beyond local government. Those partners expressed concern around the negative impacts of what is taking place and the need for a constructive approach to be adopted. We would encourage Devon County Council to make a renewed move to achieve this across its local government partnerships and the indications from our discussions during the peer challenge is that there is a willingness to do so. 

Beyond an LGR context, the council is seen by a number of partners we met to be now starting to look ‘up and out’ more and to be becoming more purposeful in its approach to partnerships. It is clear that when organisations across the complex partnership geography of Devon act together, it is impactful. However, partners are not yet seeing a clear approach on the part of the council in relation to its strategic ambitions for, and approach to, ‘place’ in Devon. They see a need for a more strategic level of conversation centred on the ambitions and vision for the county over the long-term. 

The Devon and Torbay Combined County Authority imminently becoming an Integrated Transport Authority represents a fundamental shift. Government requires devolution arrangements, whatever their form, to have good governance, work effectively and demonstrate impact before it will consider devolving more – and the council needs to embrace and respond to this.

A key area of focus in the organisation in the last couple of years has been revising the council’s approach to governance. This has included a review of the Constitution; financial regulations; key decision thresholds; and public participation. The induction programme following the elections is widely seen to have been effective and there is a wide range of on-going elected member development activity. The officer commitment to supporting all councillors right across the elected membership is clear.

There has been a clear stated commitment by the Administration to cross-party working and collaboration. We recognise that there are different definitions between the political groups as to what ‘collaboration’ should entail. We recommend that the council establishes scheduled regular Group Leaders’ meetings. This will be helpful in supporting increased shared understanding, joint input and collaboration.

There are examples of good work being delivered through Overview and Scrutiny but we see scope for the committees and their Chairs to supplement things by taking stronger ownership of their agendas, supported appropriately by senior officers. Within this, there is the potential to develop a greater emphasis on pre-decision scrutiny. Ensuring a clear link between the ambition and priorities of the Strategic Plan and the focus of Overview and Scrutiny will be important. 

The council has rightly placed a strong emphasis on enhancing its financial planning and financial resilience in recent years. Central to this has been a commitment to addressing the comparatively low level of reserves. The recent government announcement on funding the vast majority of historic special educational needs and disabilities (SEND) deficits in all upper tier councils has aided the mitigation of the most significant financial risk facing Devon County Council. 

The process for setting the budget for 2026/27 is seen to have been comprehensive and inclusive and the council has now established a balanced medium term financial plan (MTFP). This indicates a savings requirement between 2026/27 and 2030/31 that equates to 13 per cent of the current net budget. Whilst the council has a track record of savings delivery, some savings are often achieved in ways that are not in line with the original plan. This leads to us recommending the adoption of a rigorous and robust approach to savings delivery going forward. 

The following are the peer team’s key recommendations, listed in the order that they appear in the report. 

Deploy enhanced capacity in the most appropriate and effective ways

Having invested in its people, the enhanced organisational capacity that has been generated now needs to be capitalised upon – ensuring it is deployed in the most appropriate and effective ways to deliver on the most significant agendas: balancing business as usual; all aspects of the Strategic Plan; continued organisational change and improvement including savings and transformation; place-shaping and the regional agenda; and Local Government Reorganisation (LGR)

Ensure that a more strategic conversation takes place around the ambitions and vision for Devon both across the county council and with wider partnerships and stakeholders 

There is a clear need for partnership conversation that is more strategic, centred on the ambitions and vision for Devon over the long-term – and a desire among some partners for the council to step into this place leadership space more 

Embrace and respond to government expectations around devolution arrangements

Government will expect devolution arrangements, whatever their form, to have good governance, work effectively and demonstrate impact before it will consider devolving more. The council needs to embrace and respond to this, building on existing devolution arrangements.

Achieve a fundamental re-set on the part of all councils across Devon in relation to LGR

There needs to be a fundamental re-set on the part of all councils across Devon in relation to LGR. Central to this must be a shared ambition for collaboration. We would encourage Devon County Council to make a renewed move to achieve this across its partnerships.

Ensure LGR preparations are turned into a formal and co-ordinated programme

The council’s preparations for LGR need to be turned into a formal and co-ordinated programme around which there is clarity, transparency, grip and rigour

Continue to progress Overview and Scrutiny

The progress of Overview and Scrutiny needs to continue with the committees and Chairs being supported by senior officers to take stronger ownership of work programmes and ensure a focus on the key strategic issues for both Devon and the county council. A greater emphasis on pre-decision scrutiny is also recommended.

Establish scheduled regular Group Leaders’ meetings

The council should establish scheduled regular Group Leaders’ meetings, replacing the reliance to date on arranging meetings as and when there are issues to be considered, to support increased shared understanding, joint input and collaboration

Increase the opportunity for exploring key strategic issues informally between Cabinet and the Executive Leadership Group

There would be benefit in increasing the frequency with which Cabinet and the Executive Leadership Group come together to understand both the strategic and operational issues facing the county. Separating formal ‘council business’ discussions from dedicated time and space to explore informally key strategic issues facing the council and Devon would be helpful.

Ensure a rigorous and robust approach to savings delivery

In a context of the council having a track record of savings delivery but some savings often being achieved in ways that are not in line with the original plan, there needs to be a rigorous and robust approach to savings delivery going forward with clear ownership at the service level of the delivery of savings commitments

The composition of the peer team was shaped by the specific context and focus of the council, with the LGA selecting peers based on their relevant background and expertise. The peers for this CPC were:

• Angie Ridgwell, Chief Executive, Hertfordshire County Council
• Councillor Lisa Spivey, Leader, Gloucestershire County Council (Liberal Democrat)
• Councillor Dawn Husemann, Leader of the Opposition, Shropshire Council (Reform UK)
• Lorna Baxter, Deputy Chief Executive and Section 151 Officer, Oxfordshire County Council
• Simon Neilson, Executive Director for Place and Regeneration, Northumberland County Council
• Paul Richards, Director of Living and Ageing Well, Surrey County Council
• Kathryn Trant, Adviser, Local Government Support – South West, Local Government Association
• Chris Bowron, Peer Challenge Manager, Local Government Association

This section of the report provides detailed feedback along with additional suggestions related to the areas of focus for the CPC. When developing the action plan (in response to the CPC’s findings), the council should consider both the key recommendations presented in section three and the additional detail set out below. 

Local priorities and outcomes

In September 2025, Full Council adopted a new Strategic Plan for Devon running through to 2029. At the heart of this is a vision of ‘building a positive future for Devon where everyone thrives’. The Plan was informed through a wide range of both qualitative and quantitative sources. This included 7,470 contributions to the New Devon survey, which ran from July to October 2025, and was promoted through traditional and social media advertising, media editorial and roadshow visits to 27 towns and cities in the county. The Devon Youth Council also provided input, as did council staff and elected members through a series of workshops and engagement sessions.

Six strategic priorities are central to the Strategic Plan:

• Positive futures for young people
• Supporting independence and dignity
• Continuous improvement of services
• A green Devon for future generations
• Economic inclusion and local prosperity
• Stronger communities and safer places

The Plan is underpinned by a set of organisational values and operating principles, again informed by a range of internal and external audiences – including sustainability; collaboration; transparency and resilience; listening to residents; prevention and early intervention; and acting with agility and pace.

The members of Cabinet have brought energy, enthusiasm and constructive challenge to the organisation. Crucially, there is a strong and trusting relationship between the leader and the chief executive and this is mirrored in good relationships within and between Cabinet and the senior managerial leadership of the organisation. Officers have helped Cabinet members settle into their new roles quickly and effectively. 

Revised Cabinet portfolios reflect the increased priority being given to children and young people in Devon now – with the new Administration dedicating three portfolios respectively to Special Educational Needs and Disabilities (SEND); Children’s Services; and Education. The latter forms part of the Leader’s portfolio. The priority being attached to rural affairs, including broadband, and water quality in Devon is also reflected in the new Cabinet’s revised portfolios.

Children’s services improvement has been an on-going challenge for Devon over a number of years and progress has been limited. The council’s commitment to children and young people and care leavers is now palpable. The Children’s Services Commissioner, in their October 2025 report to the Minister of State for Children and Families, reflected that Devon has “the capacity and capability to improve itself in a reasonable timeframe” and that “what’s needed is recognition of what has been achieved and how Devon’s potential can be harnessed so the system wide improvements I have seen can be embedded, be helped to accelerate at pace and be applied consistently across the county”. The council’s political and managerial leadership clearly emphasised to us the requirement for education, skills and youth provision, in addition to children’s social care, receiving greater focus and prioritisation going forward, linked to the Strategic Plan’s ambitions around delivering ‘positive futures for young people’. 

The Ofsted monitoring visit to Devon children’s services in November 2025 highlighted that “political, corporate and operational leaders in Devon share a determination to improve services to care leavers. They are overseeing a much-needed programme of improvements across children’s services”. 

The council has established care experience as a locally agreed protected characteristic. Care leavers are exempt from paying council tax following agreement across all Devon councils and they also receive a free bus pass, whilst the council holds an annual ‘Love our Children’ week celebrating care leavers and children in care. The council provides a guaranteed interview for those with care experience for roles it is recruiting to where the criteria have been met, plus it offers additional support around recruitment processes and during induction periods. A number of roles within the organisation have been ringfenced for care leavers, with 32 positions thus far having been recruited to in this way. Five care leavers have been recruited into council apprenticeships during the last year. The ECHO Network has been established for those working in the council with care experience, providing a support mechanism while also contributing to the development and refinement of related council policies and approaches, including HR guidance for managers and colleagues.

Work has been taking place to enhance the council’s corporate approach to performance management in a way that supplements what has traditionally existed at the directorate level. It is crucial that the effort and resources being dedicated to this makes a tangible difference in the form of improved performance and outcomes in the council’s priority areas. The six priorities in the Strategic Plan are broken down into 35 commitments and 116 statements of intent, the monitoring of which will clearly be a significant undertaking. The Strategic Performance Board, comprising Cabinet members and Directors, has recently been established and it is intended that this forum meets quarterly. A Strategic Plan Performance Dashboard has also been created and this was considered for the first time by Cabinet during the week of the corporate peer challenge. All of this represents the basis of a revised drive and focus and the council has ambitions and plans to develop the approach to performance management further. A particular aspect of this will be strengthening the ‘golden thread’ from the Strategic Plan to individual staff members’ objectives.

The council also has ambitions to enhance its approach to external communications, adopting a more proactive and strategic approach. One element of this is building on the campaigns-based approach adopted with, for example, smoking cessation. There is also a growing desire to ensure the council becomes more effective in utilising its influence at the national level, including in Westminster, Whitehall and the local government sector.

The council is committed to enhancing resident and community engagement and staff reflected an increasing emphasis on co-production. Good examples include the ‘inclusive communities’ approach taken in the development of the special educational needs and disability (SEND) strategy and the 25,000 responses received to the libraries’ re-design consultation before it closed in late February.

The council is effectively engaged in a wide range of successful operational partnership and joint delivery activity, including:

• Devon Climate Emergency Partnership, bringing together local councils, emergency services, businesses and voluntary and community sector organisations
• ‘Best Start’ Family Hubs Devon – a new, enhanced family support system in partnership with community groups and community health services
• ‘Brighter Futures’ – dedicated to improving outcomes for young people aged 16–25, including those who are care experienced; have special educational needs or disabilities; aren’t in education, employment or training (NEET); or live in rural or disadvantaged areas. This initiative links with the ‘Connect to Work’ government initiative and the ‘Employment, Education and Training Strategy 2025–2030’ developed by the Devon and Torbay Combined County Authority and accesses the Adult Skills Fund. 
• ‘Growing Futures’ – a 10‑year transformation plan to radically improve housing, care and education pathways for children and young people in care and care leavers
• Local Care Partnerships; 20 co-located and co-managed health and social care teams across the county; and currently emerging neighbourhood health teams mapped to Devon’s primary care networks
• 90 council staff being assigned to the Devon Partnership NHS Trust supporting its work providing specialist mental health, learning disability and neurodiversity services in communities
• Devon Housing Commission – which ran from May 2023 to June 2024 as an independent, expert-led body established to investigate the causes of the county’s worsening housing crisis and recommend practical solutions. It included all of the local councils in Devon and was supported and part-funded by the University of Exeter. Following on from this, Devon and Torbay Combined County Authority has published a Local Housing Plan (2025–2027) explicitly designed to deliver the Commission’s recommendations.
• Housing needs assessment – with this being undertaken through the Housing Learning Improvement Network in partnership with Torbay Council and all of the councils in Devon
• Culm Garden Village – one of 14 areas nationally awarded Garden Village Status by the government in 2017, with the potential to deliver 5,000 sustainable new homes in a country park landscape, with jobs, community facilities and transport integrated with the existing town of Cullompton
• Ilfracombe Poverty Truth Commission – with this being initiated by the Royal Devon NHS Trust in response to rising levels of poverty and deepening health inequalities in the town and seaside resort. It has sought to answer the question of ‘what if people who struggled against poverty were involved in making decisions about tackling poverty?’. Half of the commissioners were people with a lived experience of poverty, with the others being senior leaders from organisations including the Royal Devon University Healthcare NHS Foundation Trust, North Devon Homes, Department for Work and Pensions, Ilfracombe Academy, North Devon District Council, Devon and Cornwall Police and the county council.

Delivery against priorities and comparative performance

Performance across Devon County Council services is mixed. The council is currently awaiting the publication of the outcome from the September 2025 inspection of adult social care by the Care Quality Commission. With regard to children’s services, the council has support in place to aid further its improvement journey following an OFSTED overall re-inspection judgement of ‘Inadequate’ in May 2025. The council indicated that the Department for Education and Ofsted have endorsed a service plan for children’s social care, incorporating national reforms, local transformation programmes and activity to address the Ofsted recommendations made in the May 2025 report.

The peer team considered information from the ‘LG Inform’ data and performance information system, which the LGA hosts on behalf of the sector, regarding Devon County Council and how performance in the county compares with the other localities in its CIPFA ‘family’ grouping of similar authorities, using the most recently available data:

Where statistics in Devon are better than with comparators:

• ‘A’‑road condition
• Proportion of the population aged 16-64 qualified to at least Level 3
• Short‑term adult social care outcomes
• Overall satisfaction of adult social care users

Where statistics in Devon compares less favourably:

• Upheld Ombudsman complaints
• Smoking prevalence in adults
• Proportion of population aged 16-64 qualified to at least Level 2 

Where statistics in Devon are around the average:

• Unemployment rate
• Education outcomes, including GCSE 9–5 English & Maths 
• Proportion of 16 and 17 year olds not in education, employment or training
• Children looked after rate

The following is a link to the latest information for the council in the LG Inform system: Headline report 

The first iteration of the Strategic Plan Performance Dashboard (referenced earlier), set out the six priorities with 35 commitments across those priorities, then goals and headline measures under each commitment. Future iterations of the dashboard are expected to include a suite of supporting indicators providing deeper insight and contextual understanding. Cabinet praised the format of the report which included red/amber/green (RAG) assessments considered by the Strategic Performance Board. Whilst the dashboard is presented in an easily understood format, the inclusion of targets and trend data in future iterations will be important to ensure a comprehensive understanding of performance against headline measures and progress towards achievement of priority commitments.

For example, the percentage of unfilled children’s social work posts is rated green at 1.3 per cent whilst the percentage of adult social care professional roles that are vacant is rated amber at 8.4 per cent. The percentage of care experienced people in education, employment or training is rated amber at 54.1 per cent. The percentage of young people in transition with a Your Care and Support Plan at age 18 is also rated amber at 88.6 per cent. The percentage of residents who feel they can influence local decisions is also rated amber at 24.43 per cent. An understanding of upper and lower limits to the RAG ratings would be a useful addition. 

Organisational and place leadership

The staff we met at different levels of the council consistently spoke positively about the change that has taken place in the organisational culture in the last couple of years. What has been achieved is the result of conscious endeavour and insightful managerial leadership, aided by an organisational willingness to invest the necessary time and resources. Our conversations saw people describing a council that has now become firmly established as a values-driven and learning organisation – one that is absolutely committed to the development of its people. Central to what has been achieved is the principle of ‘one council’ and the ‘People First’ strategy. The strategy comprises six areas of focus: recruitment; wellbeing; belonging; learning; voice; and reward. 

A strong emphasis has been placed on the council ‘growing its own’, including in the areas of trading standards and public health nursing and through an impressive and increasing number and range of apprenticeships. The apprenticeship programme covers a variety of levels, such as a Level 3 in business administration, a Level 4/5 in leadership and management and a senior leadership degree. It also covers a range of functions and services, including social work, youth work, occupational therapy, civil engineering and Planning. There are now nearly 300 apprenticeships being undertaken in the council and those people that we met participating in the programme were a credit to the organisation. 

The ‘Do it for Devon’ recruitment campaign contributed to a rise of 23 per cent in applications in its first year and then a further 12 per cent the following year. The council has also been undertaking joint recruitment internationally with Plymouth and Torbay councils for health and care staff.

Staff that we met spoke of feeling trusted and empowered. They value the increased emphasis being placed on employee wellbeing, with a wellbeing strategy and related training, for example of mental health first aiders, having been established. They very clearly articulated and demonstrated their passion and enthusiasm for their work, their fulfilment and their sense of growth and personal development. Staff also appreciate the range of staff engagement activities at both the corporate and directorate levels, led by the chief executive and other members of the Executive Leadership Group. The first annual staff celebration event will be held in April and has seen nearly 400 nominations for awards.

The commitment to leadership and management development is on-going and growing. There are programmes in place at four different levels in the organisation: ‘one council leadership’ for existing senior leaders; ‘leadership and management excellence’ for the leaders of the future; ‘management fundamentals’ for all existing managers; and a professional skills catalogue for everybody.

Staff, particularly at the middle to senior leadership levels, spoke of now having a much greater understanding of the wider organisation and the complex and cross-cutting nature of the ‘wicked issues’ facing Devon and people in its communities. The ‘sandpits’ initiative, which brought staff from different services together to help develop awareness of, and thinking around, cross-cutting challenges have been a very clear catalyst for change. People talked of ‘leaning in’ to other services, collaboration, agility, silos being addressed, flexibility over where skills are deployed and looking at partnership working in new ways. 

What has been established in relation to the ‘People First’ strategy and organisational cultural change is reflected in a range of improving and impressive workforce statistics. This includes the rise in the number of apprenticeships (from 185 to 277) and a significant increase in the proportion of permanent staff in children’s social care – from 51 per cent in December 2023 to 86 per cent in December 2025, with a related saving of over £3.5m. The most recent staff survey saw an increase in the participation rate from 32 per cent to 52 per cent which, whilst leaving scope for further improvement, also reflects a growing willingness from people to offer their perspectives. The survey also saw the percentage of respondents who would recommend Devon County Council as a good employer rise from 60 per cent to 77 per cent.

The chief executive is seen by staff we spoke to as having been fundamental to what has been achieved culturally in the organisation and they highly value her authenticity and passion for people in Devon. Whilst much has been incumbent upon the chief executive, the view is that the organisational culture change has a momentum and depth to it that ensures sustainability. This is reflected in the wider senior managerial leadership, with the staff we spoke to highlighting their visibility, openness and transparency, collegiate and corporate approach and increased demonstration of ‘being themselves’ at work.

Having invested more in its people, the enhanced capacity that has been generated now needs to be capitalised upon by the council, ensuring it is deployed in the most appropriate and effective ways to deliver on the most significant agendas facing the organisation and Devon, balancing business as usual; all aspects of the Strategic Plan; continued organisational change and improvement including savings and transformation; place-shaping and the regional agenda; and local government reorganisation (LGR).

A range of corporate functions have become more centralised in the council, enhancing capacity and spreading expertise. This includes HR, finance and project and programme management. Investment has been, or is being, made in a number of new systems including a finance system, a joint case management system for adults and children’s social care and the council’s IT infrastructure generally.

Whilst there has been significant cultural change reflected within the county council, it is not yet visible to partners and wider stakeholders. The state of relationships between the councils in Devon, at the strategic rather than operational level and in a context of LGR, was widely and negatively commented upon by partners that we met from across a range of sectors beyond local government. The situation that exists was reflected in the tensions that emerged around district and borough council input to the corporate peer challenge process, which ultimately proved very limited. In the peer team’s view this was a missed opportunity. The partners that we spoke to across other sectors, including the wider public sector, the town and parish council sector, the voluntary and community sector and higher education, expressed concern around the negative impacts of what is taking place between the councils in Devon in relation to LGR and the need for a constructive approach to be adopted that recognises a bigger picture:

• “Churn and turmoil”
  • “Use the opportunity of LGR, don’t let it take the oxygen out of the room”
  • “Do the best for the people of Devon”

This informs the peer team’s perspective of a need for a fundamental re-set, on the part of all councils across Devon, in relation to LGR. Central to this must be a shared ambition for collaboration. We would encourage Devon County Council to make a renewed move to achieve this across its partnerships and the indications from our discussions during the peer challenge is that there is a willingness to do so. 

There is a lot happening in the background in the council informally in gearing up for LGR. Lead officers in Devon councils, across a range of professional domains such as HR and Planning, are liaising over the necessary preparations. This needs to be drawn into a co-ordinated programme in the council and around which there is clarity, transparency, grip and rigour. This can be centred upon the ‘cell’ that has been put in place within the council focusing on the LGR priorities that have emerged through engagement with Devon councils and MHCLG.

There is a complex partnership geography in Devon, with many ‘moving parts’ to this, some of which are out of the council’s control. This combines with ‘fluidity’ across all public sector organisations, with significant organisational or structural change and the challenges of financial and demand pressures. The complex geography and set-up of partnerships include Devon being part of the wider South West region; the administrative county of Devon and its constituent local authorities (including the state of flux that LGR represents); the ceremonial county of Devon; Devon and Torbay Combined County Authority (DTCCA); and the wider spatial development strategy under the DTCCA. The geography of the spatial development strategy is anticipated to be determined by government imminently and the outcome from this will be fundamental to how the council, as a key contributor, organises its partnership effort.

The council is seen by a number of partners we met to be now starting to look ‘up and out’ more and to be becoming more purposeful in its approach to partnerships. As we touched on earlier, there is ambition within the council to ensure the ‘Devon voice’ is heard nationally and it is clear that when partners across the different geographies act together, as has been seen with the Marlcombe new town proposal, it is impactful. 

Devon County Council’s approach to economic growth currently appears to be largely focused on specific places and projects. There are good examples of joint activity and county council contributions in this sphere, including the development of the new town and community of Cranbrook; investment in the major road and transport infrastructure in and around Newton Abbot to unlock employment land and the potential for nearly 10,000 new homes; and transport infrastructure development to aid the Plymouth and South Devon Freeport.

However, partners are not yet seeing a clear approach on the part of the council in relation to its strategic ambitions for, and approach to, ‘place’ in Devon. Partners see a need for, and are very interested in participating in, a more strategic level of conversation centred on the ambitions and vision for Devon over the long-term. Some partners are looking for the council to step into the place leadership space more. 

The Devon and Torbay Combined County Authority imminently becoming an Integrated Transport Authority represents a fundamental shift for the county council and Torbay Council. Government requires devolution arrangements, whatever their form, to have good governance, work effectively and demonstrate impact before it will consider devolving more – and the council needs to embrace and respond to this, building on existing devolution arrangements.

Governance and culture

A key area of focus in the organisation in the last couple of years has been revising the council’s approach to governance. This has included a comprehensive review of the Constitution; financial regulations; key decision thresholds; public participation; and Code of Conduct and has been informed and supported by a cross-party Governance Working Group. The work of this group is considered by the Procedures Committee (or other relevant forum) and links, through this, to Full Council to which recommendations are made. 

The Audit Committee, with a new Chair, is seen to be proactive and now features co-opted members. The committee undertook a CIPFA level self-assessment last year, with the recommendations which emerged from this currently in the process of being implemented. This includes the development and publication of an annual report on the committee’s activity. As part of a strengthened approach to risk management the council has revised its risk appetite strategy and the corporate risk register is considered regularly by both the committee and the Extended Leadership Group.

The council has retained a Standards Committee and this now features four co-opted members. As part of their role, they maintain a watching brief over the way councillors approach other committees and council forums. The council involves a wider range of officers in its ‘Golden Governance’ meetings than many councils, including the director of people and culture and deputy chief executive regularly being invited to join the head of paid service, monitoring officer and section 151 officer as the standing members. This is positive.

The elections in May 2025 saw a more diverse elected membership emerge. Eighty per cent of those elected were new to the county council, with many new to local government altogether. The induction programme that followed is widely seen to have been effective and included more than thirty sessions on different matters. It placed an initial emphasis on the fundamentals of good governance, keeping elected members ‘safe’ and expected behaviours. The joint efforts of officers and elected members have helped the new cohort of councillors to ‘hit the ground running’. The officer commitment to supporting all councillors right across the elected membership is clear.

There is a wide range of more on-going elected member development, including briefings (also referred to in the council as masterclasses) and member development days looking at areas of interest and importance to communities, councillors and the council. This includes the challenges around potholes and the organisation’s property portfolio including county farms. There are also regular bulletins that go to all councillors, with 24 of these published since the elections. The Chairs of committees that we met are welcoming of the forthcoming chairing skills training, with some having relied to date on learning opportunities they had sought for themselves since assuming their roles. 

The Democratic Services function is central to the provision of training and development for elected members and their support in all aspects of their responsibilities is seen to be very effective and is highly valued by the councillors we spoke to.

There has been a clear stated commitment by the Administration to cross-party working and collaboration. We recognise that there are different definitions between the political groups as to what ‘collaboration’ should entail. The cross-party Budget Working Group and Governance Working Group are, to us, good examples of what collaboration looks like and we would encourage these positive foundations to be built upon. To support this, we recommend that the council establishes scheduled regular Group Leaders’ meetings, replacing the reliance to date on arranging meetings as and when there are issues to be considered. This will be helpful in supporting increased shared understanding, joint input and collaboration.

Within Overview and Scrutiny, members of the committees engage in task and finish activity, spotlight reviews and briefings as well as the formal committee meetings. There are examples of good work being delivered through this key aspect of the council’s governance structure, with the prime example being examination of the South Western Ambulance Service NHS Foundation Trust’s (SWASFT) proposal to replace the fire co-responder model with a community first responder volunteer one. Each committee formulates its own work programme. The Chairs and Vice Chairs of each Overview and Scrutiny Committee, along with their counterparts on the Audit Committee, have started meeting on a monthly basis to co-ordinate their activity and work programmes and share experience and learning. 

We see scope for the Overview and Scrutiny Committees and their Chairs to supplement things by taking stronger ownership of their agendas, supported appropriately by senior officers. Within this, there is the potential to develop a greater emphasis on pre-decision scrutiny, which the consideration of the SWAFST proposal represented. Ensuring a clear link between the ambition and priorities of the Strategic Plan and the focus of Overview and Scrutiny will be important. The remit of the committees in relation to budget monitoring and performance monitoring could also usefully be made clearer. There is a strong interest from the elected members we spoke to regarding having access to further Overview and Scrutiny training in order to aid the further progression of the committees and the functioning of this aspect of governance generally.

The members of Cabinet and the Executive Leadership Group currently meet on a monthly basis. This takes place on the same day as, and immediately follows, each formal Cabinet meeting. It places an emphasis on reflecting on the meeting that has just taken place and preparing for the next Cabinet meeting and Full Council. We see benefit in an increase in the frequency with which Cabinet and the Executive Leadership Group come together and a broadening of the nature and focus of their discussions to include more strategic conversations and horizon scanning. This should entail the separating out of a focus on formal ‘council business’ from the informal exploration of key strategic issues facing the council and Devon. This latter aspect requires the creation of additional time and space. Cabinet members meet informally together by themselves on a monthly basis and we see benefit in them also coming together more frequently.

Councillors we spoke with appreciate the locality budgets and the potential they offer to benefit the communities and localities they serve. They highlighted the broad scope for the way the budgets can be applied and the flexibility in the way they are administered. This is geared to trying to enable them to meet local needs in the most effective and appropriate ways, such as combining funding from two separate financial years in order to support a larger-scale initiative than would otherwise be feasible. 

Whilst the process is not always perfect, elected members also value the importance the council attaches to the principle of informing a local councillor of key issues in their Division at the earliest appropriate opportunity. This principle is formalised in the ‘Think Local Councillor’ protocol, which the Governance Working Group has been influential in developing.

The online Member Portal came into being in the period following the elections last year. It seeks to aid the way in which the council responds to councillors’ casework on behalf of their residents and communities. The system represents a medium for councillors to log issues centrally and for them to be channelled to the most relevant part of the organisation, with appropriate monitoring mechanisms in place. To date, both take up and experience of the portal have been mixed but the objectives behind the system are the right ones. 

Nearly two thousand enquiries have been submitted since the portal was launched, with an average number of 3.46 days taken to respond (not necessarily meaning it is resolved) compared to a target of ten days. We would encourage councillors and the council to persevere with the system, recognising that the more it is utilised the more effective it will become and the more residents will benefit. This comes in two primary forms. The first, through appropriate monitoring, is enabling services and functions offering less good organisational responsiveness to be identified and supported to improve. The second is allowing trends and patterns in the issues being reported to be spotted, with strategic, rather than ‘piecemeal’, solutions then being able to be devised. 

Financial planning and management

External Audit issued an ‘unqualified’ opinion on the most recent set of the council’s accounts – for the financial year 2024/25. The council has rightly placed a strong emphasis on enhancing its financial planning and financial resilience in recent years. Central to this has been a commitment to addressing the comparatively low level of reserves, with the council being in the lower quartile on the CIPFA Financial Resilience Index. General Fund earmarked reserves rose from £126m to £142m during the 2024/25 financial year and a further £20m (based on month eight monitoring) is intended to be added during 2025/26. There is also a commitment to increase the Budget Management reserve from £48m currently to over £160m by 2030/31, including consolidation of the ‘Resilience’ reserve of £42m.

The recent government announcement on funding the vast majority (90 per cent) of historic SEND deficits in all upper tier councils – which, far from uniquely, represented the most significant financial risk facing Devon County Council – means funding from the related ‘Resilience’ reserve (to be consolidated with the Budget Management reserve as above) should cover the remaining 10% deficit that the council needs to fund up to 2027/28. There are clear government expectations around the development by each relevant local authority of a ‘Local SEND Reform Plan’ and this will need to represent a major focus for the council in the period ahead.

Budget monitoring is reported formally to Cabinet every two months, with monitoring being undertaken by the chief executive and other senior officers at Executive Leadership Group level on a monthly basis. The Leader and Cabinet Member for Finance also receive the information on a monthly basis. The most recent (month ten) forecast for the current financial year indicated an underspend of £4.2m – in a context of a net revenue budget of £806m – which represents a shift from an overspend of £5.4m at month eight. 

The External Auditor previously recommended that the council develop and deliver mitigating actions around demand and cost growth in social care. The actions that have been taken have contributed to the variations that are being seen in these and other demand-led budget areas not being as significant as in many other upper tier councils.

The process for setting the budget for 2026/27 is seen to have been comprehensive and inclusive. Draft budget proposals, logically initially emerging through officer activity, were presented to each of the political groups and then considered by Overview and Scrutiny Committees followed by Cabinet. The cross-party Budget Working Group also inputted. This internal activity was supplemented with external engagement with the district and parish council, business and voluntary and community sectors as well as an online public consultation survey. 

The council has now established a balanced medium term financial plan (MTFP). The ‘Fair Funding’ review is seen by the council not to adequately reflect the challenges rurality brings. However, the council’s core spending power is indicated as increasing by more than 14 per cent by 2028/29, which is above the average for county councils but does involve government assuming council tax will be increased by the maximum allowed each year and a collection rate of 100 per cent.

The MTFP indicates a savings requirement of £121m between 2026/27 and 2030/31 – which equates to 13 per cent of the current net budget. Of this, £39m is required in the financial year 2026/27, through a combination of £20m in adult social care, £9m within children’s services, £5.5m across other services and £5m via alternative funding and income generation. Whilst the council has a track record of savings delivery, including £40m across the council in 2024/25 and £67m from adult social care in recent years, some savings are often achieved in ways that are not in line with the original plan. The remainder of the £121m savings required over future years (£83m) needs to be clearly identified and made the subject of a rigorous and robust approach to delivery going forward. Integral to this is clear ownership being required at the service level, rather than within the council’s finance function, of the delivery of agreed savings commitments.

The most recent External Audit letter recommended the council put the arrangements in place to embed its transformation ambitions. In line with this, Cabinet in September last year agreed a new set of transformation governance arrangements, including the creation of a Strategic Change and Transformation Board. Core aspects of the transformation and savings agenda going forward are:

• ‘Living Well in Devon’ – focused on adult social care and health and aiming to achieve £55m in savings over the next three years 
• Investment in developing direct children’s homes provision (with £156m being dedicated over ten years) and fostering 

The council has commissioned external support for the delivery of ‘Living Well’ and the approach being seen here, including the upskilling of staff not just in adult social care and health but also in corporate functions such as performance and procurement, is being welcomed by staff that we spoke to.

The flexible use of capital receipts is contributing to the funding of transformation, with a commitment of £27m over the three years to 2027/28. The council recognises that this approach to funding transformation is not sustainable.

The council is demonstrating increased rigour around assets disposal as part of enhancing its approach to both governance and finance. This has included the creation of a new Land and Property Committee in 2024. In a context of the emphasis being placed upon strengthened financial resilience for the council, we see a potential risk of missed opportunities if the focus on assets disposal disproportionately emphasises the generating of funding over, for example, place-shaping or supporting organisational ways of working (such as ensuring sufficient office accommodation for those staff looking to work from a council facility). Having said that, we recognise that the recent proposals considered by Cabinet in relation to the Matford offices site, which would prioritise the delivery of affordable homes, care leaver housing and key worker housing in line with the council’s Strategic Plan ambitions, provide an example of the council looking beyond just the funding generation potential of its assets.

The capital programme for the financial year about to commence (2026/27) equates to £202m, although a very significant proportion of this (£175m) is externally funded through other organisations and grants. The programme features increased investment in highways of £15m in 2026/27, as an agreed priority in the eyes both of residents and the council, with an additional £10m dedicated per annum to this thereafter. Whilst the capital programme saw slippage in 2024/25 of £62m within a budget of £250m, this is forecast to reduce to £38m in the current year.

Capacity for improvement

The staff that we spoke to reflected that they have the ‘IT tools to do the job’ and are technologically-enabled. This supports and enables them working remotely, when engaged in activity in localities, whilst working from council facilities around the county or when working from home. Staff also highlighted a mature approach to hybrid working in the organisation. This places an emphasis on services and teams devising localised arrangements to best meet ‘business need’, which most people we spoke to are welcoming of. By definition, this means there is differentiation in approach. Whilst this is highlighted as being inconsistent by some, the bigger issue with hybrid working seems to be the shortage of office space that people are encountering. This applies to individuals seeking desk space but is a bigger issue when teams are looking to come together. 

The staff that we spoke to value the performance management arrangements that are in place at the individual level, including supervision (with this being particularly applicable in social care functions), regular 1-2-1s and the undertaking of appraisals.

Whilst all of the staff that we met spoke with passion about the cultural change that they have experienced, the council recognises the need for this to extend further through the organisation. Central to this is extended ‘agility’ in the organisation to drive forward ‘one council’ working. This ‘agility’ relates to how people view and carry out their role. Flexibility is key, as is staff demonstrating accountability and responsibility. It also relates to people being deployed in ways that fully capitalise upon their skills and expertise.

As the focus on enabling individuals in the organisation to grow and develop continues, ensuring this is done more systematically will be important. In any organisation, there is a risk that it is those who are most visible who are provided with opportunity. A systematic approach provides for equitability and ensures all of the available talent and potential is spotted and maximised whilst contributing to a representative workforce.

The council recognises the need to enhance its approach to digital, central to which is an enhanced website and related online functionality for citizens. A digital strategy that will map out the ambitions and related resource requirements is being presented to Cabinet next month. There are similar ambitions in relation to the council’s approach to the use of data. A phrase that featured in a number of our discussions was that of moving to a position where there is a ‘single shared view of the truth’ through the organisation’s use of data. Finally, we would encourage the council to ensure a clear focus on cyber moving forward giving the constantly evolving nature of the risks and challenges.

The senior political and managerial leadership of the council will no doubt wish to review and reflect upon the findings and recommendations from this CPC.

To promote the principle of transparency, it is a requirement of the CPC process that the final report of the peer team is published in full within three months of the review being completed. In this instance, this requires the report to be published no later than 13 June 2026.

There is also a requirement for the council to develop and publish an action plan within five months of the peer team being onsite – thus no later than 16 August 2026. This action plan should provide clarity on the activity, milestones and timelines that the council will work to in responding to the team’s findings. 

The action plan will also be central to the peer team’s re-engagement with the council through a progress review which will be arranged at a time that is agreeable to the council, ideally being completed and the related report published by 13 March 2027.

The Ministry for Housing, Communities and Local Government (MHCLG) have published the Best Value Standards for Local Authorities. These standards expect every council to engage in a Corporate or Finance Peer Challenge at least every five-years. It is expected that Devon County Council would commission their next Corporate Peer Challenge to take place no later than March 2031, subject to LGR.

Contact details

In the meantime, Paul Clarke, Principal Adviser for the South West region, is the main contact between your council and the Local Government Association. He is available to discuss any further support you require and can be contacted via [email protected]