How CPS and Microsoft Are Supporting UK Local Government Through Reform

The local government reform represent one of the most profound periods of change the UK public sector has seen in decades. For many councils, combined authorities and emerging regional bodies, this moment brings both promise and pressure in equal measure.

At CPS, working closely with Microsoft, we see first-hand the scale of what Local and Regional Government (LRG) leaders are being asked to deliver. New governance models. New accountability. New organisational boundaries. All while maintaining essential services, protecting citizen trust and operating under sustained financial and workforce constraints.

This is not simply a structural exercise. Reform fundamentally reshapes how services are designed, delivered and experienced. And technology, when applied thoughtfully, becomes one of the most important enablers of success

Reform is about shifting power, funding and decision-making closer to communities. Through Combined Authorities, Combined County Authorities and new or expanded unitary councils, local leaders are being given greater autonomy, but also greater responsibility.

In practice, this often means:

• Merging or disaggregating organisations, teams and services
• Integrating multiple legacy systems, suppliers and data estates
• Establishing new governance, scrutiny and reporting models
• Supporting staff through uncertainty and change
• Reassuring citizens that services will remain clear, accessible and reliable

For many councils, these changes are happening at pace, with fixed statutory deadlines such as Vesting Day, and limited room for error. “Business as usual” must continue at the same time as transformation is underway.

This dual-running environment is where risk accumulates – operationally, digitally and reputationally.

Through our work with councils across England, CPS and Microsoft consistently see five core challenge areas emerging during reform.

• Organisational and Structural Complexity

Bringing together authorities with different cultures, policies, processes and digital maturity is never straightforward. Without clarity on ownership, sequencing and decision-making, complexity can quickly overwhelm delivery teams.

• Fragmented Technology and Data

Many councils enter reform with multiple CRMs, contact centre platforms, case management tools and collaboration environments. Reform amplifies this fragmentation, making integration unavoidable rather than optional.

• Workforce Impact and Ways of Working

Staff are asked to adapt to new roles, new systems and new leadership models at pace. If digital tools add friction rather than remove it, productivity, morale and retention are put at risk.

• Citizen Confidence and Experience

From a resident’s perspective, reform should ideally be invisible. But during transition, confusion around responsibility, contact points and service ownership can quickly erode trust if not proactively managed.

5. Governance, Security and Risk

As powers devolve, so too does accountability. Security, identity, data protection and auditability cannot be left until “after the announcement”. They must be embedded from day one.

These are not theoretical issues. They are practical, operational challenges that councils are dealing with today.

At CPS, our role is to help councils use technology as a stabilising force during transition – and a platform for long-term improvement once new structures are live. Working with Microsoft, we focus on outcomes first, not tools for their own sake.

One of the most important shifts we encourage councils to make is viewing reform as an evolution rather than a single moment in time.

Authorities move through stages – from Prepare, to Transition, to Operate, and ultimately Evolve. Different services may sit at different stages simultaneously, which is why clarity, sequencing and governance are essential.

Technology plays a different role at each stage:

• Stabilising and protecting services early
• Enabling integration and control during transition
• Driving performance and insight once structures are live
• Supporting innovation and continuous improvement over time

This is where a trusted Microsoft partner makes the difference, not just implementing platforms but aligning them to where the organisation is ready to go next.

Our close working relationship with Microsoft and the wider partner ecosystem to ensure councils are supported before, during and after Vesting Day. Our approach is shaped by real-world experience, national guidance and continuous feedback from authorities who have already been through reorganisation.

Above all, we recognise the human impact of change. Reform is challenging. It creates uncertainty. But it also creates a once-in-a-generation opportunity to reset how technology supports public value.