May 2022 Contents Foreword04 06 Introduction The case for innovation08 Case study09 Breaking down the barriers to collaboration11 Procurement as an enabler of innovation13 Recommendations15 Local Public Services Market Engagement16 Case study18 Recommendations 21 Acknowledgements23 Foreword Alison McKenzie-Folan, Chief Executive,Wigan Council & Solace Policy Spokespersonfor Digital Leadership Digital innovation in local government does not exist ina bubble being delivered by technologists or developersbut helps establish a better and more equal relationshipbetween citizen and state, building capacity in citizens andcommunities so that they thrive. In councils, like where I am Chief Executive in Wigan, our approach to digitalisn’t about the technology – it’s about our relationship with our communitiesand businesses, it’s about great service design that puts people first, it’s aboutour philosophy to innovate, and giving our people permission to work in an agileway to develop approaches with our communities. As we learn to live with Covid it is clear we have entered a new era, one whichrequires focusing hard on the big challenges we face in our communities –tackling inequalities in wealth and health and meeting the challenge of theclimate emergency. Digital transformation must absolutely be at the heart ofour approach to these complex problems. Yet, never before has the digital divide been so sharply in focus. We urgentlyneed to find a solution to digital inequalities - devices, data, accessibility, skillsand confidence - and this must be focused on resolving structural health andwealth inequalities in our communities. A quick scan across local government uncovers so many examples of tech forgood - whether that’s virtual reality to support our most vulnerable residentsto do the things that give them joy in a safe way, the ethical use of big data tofocus our support and resources where they are needed most, or increasinglyre-imagining how our physical environment promotes and enables healthyactive lives for our residents. Now is the time to invest in scaling up, so thebenefits of tech can be felt by everyone. Locally driven digital solutions alongside our communities and businesseswill be the root of our new economy, new education model, new approach tohealthier and more active lives, and so on. The demand for more digital servicesfrom residents is only going to grow and it is essential as local authorities thatwe meet that demand. Collaboration is absolutely key and that is why I’m delighted to be supportingthis report by techUK to drive forward the case for innovation and localgovernment to be working side-by-side with the private sector, third sector andcitizens to seize the opportunities and meet the challenges that lie ahead. Introduction It has been a time of extraordinary change for our local public services. Thepandemic has accelerated the pace of digital transformation of many publicservices. Digital technology has enabled teams to work collaboratively not onlyacross organisation but boundaries to co-design solutions and engage withcommunities. Public sector organisations found themselves having to shiftto mass remote working in days and adopting more agile ways of working tospin up new services with partners across the place. The pandemic providedthe impetus to do things differently. However, local public services continue toface new and ongoing challenges of public finance, supply chain, meeting therising demand and expectations of their citizens. All whilst having to continue todeliver statutory services and solve big societal and environmental challengessuch as tackling climate change to stimulating the local economy. Local government is unique in the number of lines of services it operates. Set against abackdrop of rising citizen expectations and financial constraints, local government is nostranger in doing more for less. The real reward, however, is how councils can do thingsdifferently and better for their citizens. This is where innovation comes in. The opportunity innovation presents goes beyond transactional and efficiency. Meaningfulinnovation is driven by collaboration. Collaboration between teams and citizens andtechnology suppliers. We saw this at the height of the pandemic where place-based workingbecame the norm, where departments, agencies and industry working together on digitalresponses to specific challenges. With a drive for integrated services, it’s now about pivotingto place-led innovation and local public services building on the momentum of the last twoyears and not being afraid to take risks and innovate. Innovation doesn’t have to be flashy or era-defining. It can be found in small advances thatfree us from the established ways of doing things. In this paper, techUK sets out how localpublic services can grasp the innovation opportunity and maximise the benefits they derivefrom digital technologies and their suppliers. Local public services can le