15 February 2024

This month, H/Advisors Cicero was delighted to welcome Arooj Shah, Leader of Oldham Metropolitan Borough Council, to discuss the Labour Party’s plans for devolution and Levelling-Up.

In addition to her close involvement in Gordon Brown’s Commission on the UK’s Future report, Arooj has worked closely with Keir Starmer to develop Labour policy on:

• Fiscal devolution
• Investment zones
• Infrastructure investment
• Housing
• Business rates
• Planning reform
• Reforms to the Local Government Pension Scheme (LGPS)

We heard from Arooj about Labour’s local government policy platform, her journey into politics and what it’s like being a female leader in a high-profile public role.

Having witnessed how the toxic nature of politics can disengage much of the general public, Arooj discussed how local leaders have a difficult balance to strike in offering both hope and guidance to their communities.

With the timing of this year’s General Election still subject to speculation, Arooj explained how many in local government roles are hoping that it coincides with May’s local elections, noting the exhaustion that many councillors feel as they grapple with holes in council budgets and part-time salaries for what is often full-time work. She noted that some local government Labour reps are expecting a May polling date.

Arooj’s view of policymaking is guided by her strong belief that devolution can deliver better outcomes for people. While she lamented cuts to local government funding under the current Government, she praised the work of Levelling Up Secretary Michael Gove to keep the issue on the agenda. Arooj hopes that Labour’s devolution plans will go further, however, and expects to see a lot more engagement at a regional level and greater local control over planning reform, business rates and housing. On the latter, she noted Labour’s ambition to build 1.5m new houses, emphasising that local councils are well placed to support this project given their familiarity identifying land and brownfield sites for housebuilding.

On business rates, she stressed the need for engagement between central and local government to find the right balance, as well as a broader shift in the relationship from day one of a Labour government. Arooj cautioned that Labour cannot expect their local representatives to agree with them on every issue simply because they wear the same colour rosette, and suggested this will be most evident with mayors and devolved administrations that have separate mandates to the Government in Westminster.

Arooj also pointed out that the devolution settlement requires further development. She described how Greater Manchester’s set-up undermines the potential value of its local investment zone, because areas like Oldham, Bury and Rochdale lose out to already-developed areas in the same zone such as Manchester and Salford.

She also discussed pension provision for local councillors, highlighting that many local councillors are being forced out of their work by the lack of a pension and other benefits like maternity leave and statutory sick pay. As a result, many of those in local government are those that can afford to, meaning that local politics can suffer from the same lack of representation as national politics.

Find out more about Arooj’s work here: https://www.greatermanchester-ca.gov.uk/who-we-are/gmca-members/councillor-arooj-shah/

Subscribe to our latest news and events via our UK Public Affairs newsletter.