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INTERNATIONAL SERIES ON PUBLIC POLICY
Public Value
Management,
Governance and
Reform in Britain
Edited by
John Connolly
Arno van der Zwet
International Series on Public Policy
Series Editors
B. Guy Peters
Department of Political Science
University of Pittsburgh
Pittsburgh, PA, USA
Philippe Zittoun
Research Professor of Political Science
LET-ENTPE, University of Lyon
Lyon, France
The International Series on Public Policy - the official series of International
Public Policy Association, which organizes the International Conference
on Public Policy - identifies major contributions to the field of public
policy, dealing with analytical and substantive policy and governance issues
across a variety of academic disciplines.
A comparative and interdisciplinary venture, it examines questions of
policy process and analysis, policymaking and implementation, policy
instruments, policy change & reforms, politics and policy, encompassing a
range of approaches, theoretical, methodological, and/or empirical.
Relevant across the various fields of political science, sociology,
anthropology, geography, history, and economics, this cutting edge
series welcomes contributions from academics from across disciplines and
career stages, and constitutes a unique resource for public policy scholars
and those teaching public policy worldwide.
All books in the series are subject to Palgrave’s rigorous peer review pro-
cess: https://www.palgrave.com/gb/demystifying-peer-review/792492
Public Value
Management,
Governance and
Reform in Britain
Editors
John Connolly Arno van der Zwet
University of the West of Scotland University of the West of Scotland
Paisley, UK Paisley, UK
© The Editor(s) (if applicable) and The Author(s), under exclusive licence to Springer
Nature Switzerland AG 2021
This work is subject to copyright. All rights are solely and exclusively licensed by the
Publisher, whether the whole or part of the material is concerned, specifically the rights of
translation, reprinting, reuse of illustrations, recitation, broadcasting, reproduction on
microfilms or in any other physical way, and transmission or information storage and retrieval,
electronic adaptation, computer software, or by similar or dissimilar methodology now
known or hereafter developed.
The use of general descriptive names, registered names, trademarks, service marks, etc. in this
publication does not imply, even in the absence of a specific statement, that such names are
exempt from the relevant protective laws and regulations and therefore free for general use.
The publisher, the authors and the editors are safe to assume that the advice and information
in this book are believed to be true and accurate at the date of publication. Neither the
publisher nor the authors or the editors give a warranty, expressed or implied, with respect
to the material contained herein or for any errors or omissions that may have been made.
The publisher remains neutral with regard to jurisdictional claims in published maps and
institutional affiliations.
This Palgrave Macmillan imprint is published by the registered company Springer Nature
Switzerland AG.
The registered company address is: Gewerbestrasse 11, 6330 Cham, Switzerland
We dedicate this book to our friend and colleague Professor Duncan
McTavish. Duncan planned on contributing to this book before his untimely
death in November 2018. We hope that he would be pleased with how this
book has come together. Many of the contributors to this book have been
fortunate enough to have been mentored, encouraged and supported by
Duncan over the years, for which we owe a great deal of gratitude.
Foreword
In the post-war era, two simple equations lay behind much of public pol-
icy. The first, which shaped the private sector of the economy, was Value
equals Price. As Mariana Mazzucato has explained, a century and a half of
controversy about the nature of value, running back through Marx and
Ricardo to Adam Smith, was neatly brought to an end in the immediate
post-war era. Products were valued by their price. Businesses came to be
judged by the shareholder value they created. At macro-economic level,
the economic success of countries was based on GDP growth which was
also based on this simple equation. Everyone knew the equation was
deeply flawed and, at best, a gross simplification, but as economies grew,
businesses thrived and business schools devoted themselves to mathemati-
cal models (which also assumed the simple equation), pretty much every-
one was happy with this self-deceit.
Meanwhile, policy for the public sector—funding for education,
health and policing, for example—was based on the second equally sim-
ple equation, Inputs equal Outputs. Around the world, countries built
schools, hospitals and thousands of miles of road or railway and claimed,
on the basis of this equation, to be making a big difference. They
employed more and more teachers, more and more nurses, more and
more police officers and argued that thus they were improving educa-
tion and health and reducing crime. Economists calculated the impact
of education on the economy by measuring years of schooling rather
than outputs or outcomes—in response, countries pushed up the
vii
viii FOREWORD
was not to change the simple equation—it was to squeeze the inputs side
of it and hope for the best. At a level of generality, governments were
forced to make a productivity argument—that less input should not neces-
sarily lead to less output—but the imperative was to cut inputs and there-
fore control and ultimately reduce burgeoning debt, which would
otherwise have been passed on to future generations.
When we finally emerged from austerity, while the two flawed equa-
tions remained largely in place, their long-term consequences were becom-
ing apparent. A growing number of voices advocated alternatives.
In relation to Value equals Price, Mariana Mazzucato’s book The Value
of Everything raised fundamental questions about the equation’s validity at
both micro- and macro-economic levels. Meanwhile, the growing sense of
a climate emergency, coinciding with the major financial and economic
challenges of 2008–2018, put the issue of finding an alternative firmly on
the agenda. How could we continue to measure GDP in the way we do
given its ethical and environmental blindness? GDP survives still because
there is no consensus on what the alternative might be, but it is increas-
ingly being questioned.
While Inputs equal Outputs also remains influential, as illustrated by
much of the political debate, it too has come under challenge, not before
time. Ongoing international benchmarking, perhaps best exemplified by
the OECD-PISA comparisons of education systems, has revealed that the
correlation between inputs and outcomes is weak. It matters, not just how
much you spend but how exactly you spend it!
Meanwhile, the UK Treasury, with the active support of successive
chancellors and chief secretaries, has actively pursued alternative ways of
thinking about public value. The starting point was the commissioning of
a report from me on the subject, which was published with the budget in
November 2017. Since then, the Treasury has pursued an innovative
approach which, in spite of political uncertainty in Britain in the years
2016–2019, has begun to shape the dialogue between the Treasury and
major spending departments.
My report made the case for a rounded perspective on public value, to
replace the bankrupt concept of Inputs equal Outputs. Hence the Public
Value Framework with four pillars.
FOREWORD xi
The first pillar requires that a given sum of public money delivers speci-
fied goals. The second pillar requires the fair, transparent and efficient
allocation of the resources. The third pillar is an innovation—it suggests
that for many areas of public expenditure we will get much better out-
comes if the service user is not just a recipient but an engaged partner;
think of tackling obesity, addressing mental health or enabling student
learning. It also suggests that taxpayers/citizens need to see the rationale
for each budget. If they support, or at least understand that rationale, the
budget will have greater legitimacy.
The fourth pillar is another innovation. Public value is long term as well
as short and medium term. This means that public service managers at
every level need to think consistently about how they can ensure they
leave the service for which they are responsible better than they found it.
This is stewardship. It applies at the front line—a hospital manager, for
example—and at national level—the permanent secretary of a government
department.
Since my report was published, the application of this Framework has
been piloted by the Treasury in collaboration with several government
xii FOREWORD
xiii
xiv ACKNOWLEDGEMENTS
1 Introduction 1
John Connolly and Arno van der Zwet
xvii
xviii Contents
Index287
Notes on Contributors
xix
xx NOTES ON CONTRIBUTORS
tional and territorial politics and the impact of Brexit on devolution in the
UK. He is also editor of the Journal of Contemporary European Research.
Georgios Kominis is Lecturer in Management Control at the University
of Glasgow’s Adam Smith Business School and undertakes research in
public sector accounting, accountability and management control. He
reviews for, and his works are published in, Management Accounting
Research, Public Management Review, European Management Journal
and Financial Accountability and Management.
Andrew Massey is Professor of Government and Academic Director of
the International School for Government at King’s College London. He
is the author of more than 100 published books, papers and chapters. He
has worked in a range of areas including British, European and US policy
and politics. His main areas of research include comparative public
policy, public administration and issues around the reform and mod-
ernisation of government and governance at all levels in the UK,
USA, EU and globally. He is editor-in-chief of the journal International
Review of Administrative Sciences and editor for the journal Public
Money and Management.
Janice McMillan is Associate Professor in Public Management and
Human Resource Development at Edinburgh Napier University. Her
research interests include public management, human resource develop-
ment and leadership, and she has written widely in these areas. With John
Fenwick, she is co-editor of Public Management in the Postmodern Era:
Challenges and Prospects (2010) and co-author of Decentralizing the Civil
Service: From unitary state to differentiated polity in the United Kingdom
(2003) (with Rod Rhodes, Paul Carmichael and Andrew Massey). She was
chair of the Political Studies Association Public Administration
Specialist Group 1995–2005 and vice-chair of the Public
Administration Committee of the Joint University Council
2013–2016.
Janice Morphet is a visiting professor at the University College London.
Janice has been engaged in planning and local government for over
50 years. She was chief executive of a unitary authority, head of a large
university school of planning and landscape, senior adviser on local gov-
ernment to central government and a consultant. She has written widely
on local government, planning, management, infrastructure and the
EU, including Brexit.
xxii NOTES ON CONTRIBUTORS
xxiii
List of Tables
xxv
List of Boxes
xxvii
CHAPTER 1
Introduction
I say this to governments around the world ‘you should always treat the
bureaucracy with respect, you should recognise what it can do but if you
become a prisoner of it then you will achieve nothing, you will just go
around in circles’. It is a longer debate to have and it is a very
important debate to have because reinventing government has fallen
off the political agenda in recent times and it really shouldn’t because
today, especially with changes in technology, this whole concept of how
government itself works is in my view fundamentally important. But,
as I say, I love the integrity of the civil service and in a crisis it was
brilliant but when it comes to trying to making change, and I’m being
very honest here, I found it inadequate.
The above is an extract from an interview for the Reflections radio pro-
gramme presented by Peter Hennessey (historian and expert in the history
of British government) with the former British Prime Minister Tony Blair
What I do accept, and I think we did this in my last six or seven years, is that
you can get to a much more balanced perspective where you liberate those
within the bureaucracy who actually do want to make change and who are
enthusiastic.
In the UK, devolution upwards to the European Union and other interna-
tional organisations and devolution down to Scotland, Northern Ireland,
and Wales has transformed a unitary (or at least a union) state into a multi-
level polity…characterised by non-standardised administrative structures, a
complex institutional nexus and variegated decentralised policy processes.
debates gravitate around whether British governance is less about the state
being a facilitator (amongst many facilitators) but more about the manner
and style of statecraft whereby the state remains an architect of governance
(Bevir 2010). In this respect, notions of ‘metagovernance’ and ‘rescaling’
become conceptual reference points for understanding the capacities and
approaches relating to state actions.
If public administration is about ‘how things work, how governments
make decisions, apply, or enforce these decisions’ (Massey and Pyper
2005: 4), then a focus on public value is about understanding the quality
of governance reforms at multiple levels, including the extent to which
these match public expectations. Nonetheless, there are debates in the
academic literature about whether we have witnessed an end to NPM
(Dunleavy et al. 2006; De Vries 2010; Reiter and Klenk 2019). These
debates gravitate around what could be the successor to NPM. One nota-
ble candidate has been New Public Governance (NPG) (Osborne 2009).
The arrival of NPG largely comes down to the argument that NPM think-
ing does not sufficiently address the external dynamics which shape public
governance. There are also concerns about NPM’s focus on intra-
organisational forms, performance measurement, and its lack of account
for understanding complex relationships. There are further important
interpretations of public sector governance such as New Public Service
(NPS), which emphasises the importance of the democratic and collabora-
tive dimensions of modern governance (Denhardt and Denhardt 2007).
NPS is also informed by Mark Moore’s idea regarding creating Public
Value, which calls for public managers to open up policy processes and
rebalance power relationships to give citizens a greater role in shaping
policy decision-making (Moore 1995). Creating public value is, therefore,
about the implementation of governance strategies, which are valued by
the public. It is perhaps understandable, therefore, why Dunleavy et al.
(2006) questioned whether ‘New Public Management is Dead’. In recent
times, public value has become the centre of academic attention around
the extent to which it is a distinctly new paradigm, superseding new public
management (NPM). Yet, Stoker (2006, p.43), in his assessment of the
move from public management to public value management, notes that
‘[c]laims that a new paradigm is emerging in any sphere of social and
political study are rightly treated with scepticism’. This, in part, is because
no conceptual approach in public administration scholarship is ever
entirely new, and there are always connections to the past. We have sym-
pathy with this perspective but recognise that debates about ‘whether
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CHAPTER XI.
CHANGE OF AIR AND SCENE.
Mr. Jessop duly arrived, and found, to his amazement, that his fish
and fruit had been forestalled; and there were other and yet greater
surprises in store for him.
He listened to Madeline’s plainly told tale, with his glass rigidly
screwed into his eye, his mouth pinched up as if he had an unusually
intricate “case” under his consideration.
He never once interrupted her, until she brought her recital to an
end, and she, in the heat and haste of her narrative, had permitted
him to know more of their poverty than he had dreamt of.
The Wynnes were as proud as they were poor; the extremity of
their straits was kept for their own exclusive experience. Mr. Jessop
gave an involuntary little gasp as he listened to the revelation about
the pawnbroker, the history of the miniature, and medals, and rings.
“By the way, I am going to redeem them the first thing to-morrow!”
said Madeline hurriedly.
“No, no, no, my dear Mrs. Wynne; such places for you are simply
out of the question. I will go,” protested Mr. Jessop, who had never
been inside such an institution in his life.
“No, certainly not; they know me quite well at Cohen’s, and you
are a stranger. I don’t mind one bit, as it will be for the last time; and
why should it be more out of the question now, than yesterday?
Does money make such a difference in a few hours?” (Money
sometimes makes a difference in a few minutes.)
On the whole, Mr. Jessop approved. The scheme was rash,
romantic, risky; but it was the only plan he could see for the present.
Mrs. Wynne must take her father in hand, and talk him over. “He
did not think she would have much trouble,” he added consolingly, as
he looked at her pretty, animated face; and he told himself that the
old fellow must have indeed a rocky heart if he could resist that. And
now for business, for action, for a council of war.
In a quarter of an hour it was all settled, so unanimous were
Madeline and Mr. Jessop.
A great doctor, whose speciality was low fever, was to be
summoned the next morning. If he consented, Mr. Jessop was to
come in the afternoon with a very, very easy brougham, and take the
invalid at once to Waterloo station, and by rail and carriage to a farm
house that he knew of, about fifty miles from London, where there
was pure air, pure milk, and every incentive to health. The baby and
Madeline were to follow the next day, after everything had been
packed up and stored with Mrs. Kane, who was now amenable to
anything, and amiable to imbecility.
The prescribed journey did take place by luxurious and easy
stages, and actually the next night Mr. Wynne passed under the red-
tiled roof of the farm in Hampshire. He was worn out by fatigue, and
slept well—slept till the crowing of the cocks and the lowing of the
cows had announced, long previously, that the day was commenced
for them. He sat in a lattice-paned sitting-room, looking into a sunny
old-fashioned garden (filled in summer with hollyhocks, sunflowers,
roses, and lavender, and many sweet-scented flowers well beloved
of bees), and felt better already, and made an excellent early dinner,
although his portly hostess declared, as she carried the dishes into
the kitchen, “that the poor sick gentleman—and ay, deary me, he do
look bad—had no more appetite than a canary!”
The sick gentleman’s wife and baby appeared on the scene in the
course of the afternoon, “a rare tall, pretty young lady she were,”
quoth the farm folk. A country girl took charge of the infant, who, as
long as he had plenty of milk in his bottle, and that bottle in his
clutch, was fairly peaceable and contented with things in general;
and was much taken with Mrs. Holt’s cap frills, with her bright tin
dishes on the kitchen shelves, and with various other new and
strange objects.
Madeline was thankful to get into the peaceful country, with its
placid green fields and budding hedges; to live in Farmer Holt’s old
red-roofed house, with the clipped yew trees in the sunny garden,
and the big pool at the foot of it overshadowed by elder trees.
Thankful to enjoy this haven of rest, away from murky London, with
its roar of hurrying existence and deafening street traffic that never
seemed to cease, night or day, in the neighbourhood of Solferino
Place.
Here the lusty crowing of rival cocks, the lowing of cows, the noise
of the churn were the only sounds that broke a silence that was as
impressive as it was refreshing. All things have an end. Madeline’s
three weeks’ leave soon came to a conclusion; and she most
reluctantly tore herself away from the farm, the evening before she
was due at Harperton. How happy she was here! Why must she go?
Laurence was better, a great deal better. He walked in the garden,
leaning on her arm at first, then in the lanes with no support but his
stick. He was more hopeful, more like his former self—he was
actually engaged in tying flies for Farmer Holt, as Madeline watched
him wistfully, with her chin on her hand. She loved the farm itself—
the farmer’s wife (kind Mrs. Holt, with a heart to match her ample
person). The sweet little chickens, and ducks, and calves, and foals,
were all delightful to Madeline, who, active as ever, had helped to
feed the former, learned to make butter, to make griddle-cakes, to
milk, and was on foot from six in the morning until nine o’clock at
night, and had recovered the look of youth and well-being which had
so long been missing from her appearance.
The farmer himself was to drive her to the station in his dog-cart,
and she and Laurence strolled down the lane together to say a few
last words ere they parted—for how long?
Laurence was hopeful now, and Madeline was tearfully
despondent. He was recovering, and felt more self-reliance every
day. He would soon, please God, be back at work.
“I don’t know what has come over me, Laurence,” said his wife, as
they came to the gate and a full stop. “I feel so low, so depressed,
something tells me that I shall not see you again for ages,” her eyes
filling with tears. “And I feel so nervous about meeting papa,” and her
lips quivered as she spoke.
“Nonsense, Maddie! you must never meet trouble half way. Your
father cannot but be pleased with you, and when you tell him about
me——”
“Oh, but I won’t, I dare not at first,” she interrupted hastily. “It all
comes back to me now. The days in that big house in Toorak, and
how I used to be afraid when I heard his voice in the entrance-hall—
his voice when he was angry. I used to run away and hide under a
bed!”
“Nevertheless you must tell him, all the same; you are not a child
now. And when you point out to him that his silence for two years
and a half left you to a certain extent your own mistress, and that
your unlucky marriage was the result of the reins being thrown on
your neck——”
“Now, Laurence!” putting her hand on his arm, “you know I won’t
listen to that; and if the worst comes to the worst, I can run away
again!”
“So you can; and I think in another fortnight I shall be fit for—for
harness. Jessop says——”
“If Mr. Jessop say anything so wicked, he and I will quarrel!”
exclaimed Madeline indignantly. “You are not to do anything for three
months; there is plenty of money left yet.”
“Yes; but, Maddie,” producing some notes, “you know you can’t
appear before your father like that,” pointing to her dress. “You will
need a couple of decent gowns; and I don’t think much of that hat.
You must take forty pounds, without any nonsense, you know.”
“No, I won’t,” pushing it away impatiently. “I don’t require it.”
“But you do, and must take it, and do as I desire you—goodness
knows it’s little enough! Promise me to spend every farthing on
yourself. You ought to be respectably dressed when you meet your
father. Where is your common sense? And naturally he will ask—
Where is the hundred pounds he gave you for new frocks?
Remember, Maddie, if he is very angry, you can always come back
to me”—kissing her. “And now that I am not so down on my luck, I
feel anxious to work for you, and the sooner the better; and the
sooner you return the better. Here is Holt,” as the farmer, driving a
slashing long-tailed colt, came quickly round the corner into view.
“He is driving that crazy four-year-old! I hope he will take care of you.
Mind you leave her there safely, farmer,” as his nimble wife climbed
up into the lofty dog-cart. “Good-bye, Maddie; be sure you write to-
morrow.” Stepping aside as they dashed through the gate, carried
forward by the impatient chestnut.
Madeline looked back, and waved her handkerchief. Yes, he was
still standing gazing after them, even when they had gone quite a
distance; finally she applied the handkerchief to her eyes.
“Now, don’t take on so, ma’am,” murmured the farmer, his eyes
fixed on the colt’s quivering ears. “We’ll take good care of him! He is
a real nice young gentleman; and as to baby, I don’t see how the
missus will ever part with him. You cheer up! Ain’t you a-going to
meet your father?”
“Yes, Mr. Holt,” she faltered; “but I may as well tell you that he has
not seen me for more than twelve years. He—I—we thought he was
dead. He does not know that I am married!”
“Oh, great gooseberries!” ejaculated her listener emphatically.
“What a taking he’ll be in!”
“No, and he is not to know just yet. I am Miss West, not Mrs.
Wynne, until I have paved the way. I’ve told your wife all about it; she
knows.”
“I don’t see what your father can have to say agin Mr. Wynne?”
said Holt stoutly. “He is a gentleman. The king himself is no more.”
“Ah, yes; but he has no money,” sighed Madeline.
“Maybe he has brains; and them does just as well. Don’t let your
father come between you—you know the Bible says, ‘As——’”
“Mr. Holt!” she exclaimed, flushing indignantly, “do you think I
would ever desert Laurence? No, not for fifty fathers. No, not if my
father came all the way from London on his knees, would I ever give
up Laurence and baby, or forget them for one single hour!”
“Nay, I’m sure you wouldn’t, excuse me, ma’am. But, you see,
your father’s very rich, and you are just wonderful pretty, and when
the old gent—meaning no offence—has you living in a kind of
palace, with servants, and carriages and ’osses, and tricked out in
dress and jewels, and every one pushing and jostling one another to
tell you what a grand and beautiful lady you be—why, maybe, then
you won’t be so keen for coming back; you know it would be only
human nature—at least,” coolly correcting himself—“woman’s natur.”
“Well, Mr. Holt,” she returned rather stiffly, “time will tell. I cannot
say more than that,” unintentionally quoting from Mrs. Kane. “I know
myself that I shall come back, and soon. Remember,” stopping when
she had jumped down, and holding his bony hand tightly in both of
hers, “remember,” she repeated, looking up into his honest rugged
face, with dim and wistful eyes, “I leave them in your charge. Don’t
let Laurence overtire himself—don’t let him walk too far. Don’t let the
baby have a halfpenny to play with again—or the toasting-fork. And,
oh, I must go! Remember, above all, that I shall soon return.”
Exit Miss West, running to take her ticket and claim her luggage;
and Farmer Holt, fearing the effect of the train, for the first time, on
his rampant colt, prudently turned his head back towards the cool
green lanes without any dangerous delay.
CHAPTER XII.
“SHE WILL DO!”