Local government reorganisation (LGR) is often framed around structures, governance and cost savings. But, in reality, skills and capability are what determine whether reorganisation delivers better outcomes.
As organisations integrate systems and redesign services, success depends far less on new structures and far more on whether people have the capability to operate differently.
Digital, data and technology capability sits at the centre of that shift – at a time when demand continues to rise, specialist skills remain hard to secure, and budgets remain under pressure.
For many councils, the lasting impact of LGR will not be the structure they land on, but the capability they either build or leave unaddressed along the way.
The skills challenges LGR brings into focus
LGR brings together workforces with different cultures, operating models and levels of digital maturity - and a number of common challenges often surface as a result. These include multiple legacy systems and fragmented data, uneven capability across digital delivery, data, cyber security and service design, and a long-standing difficulty in attracting and retaining people with specialist skills.
At the same time, expectations of public services continue to grow. Councils are expected to offer services that are more joined up, more preventative and more digitally enabled - often with fewer resources.
This creates a real risk - skills gaps can widen just as the need for change increases.
Reorganisation also brings many questions to the fore, such as:
What capability is genuinely needed to operate effectively as one organisation?
Where is there reliance on a small number of hard‑to‑recruit roles?
Which skills need to be strengthened rather than bought in?
How can today’s gaps be addressed rather than carried forward into new structures?
Digital, data and technology as organisational capability
Digital and data capability underpins almost every aspect of modern public service delivery - from managing demand and supporting prevention to commissioning, place‑based working and informed decision‑making.
During LGR, organisations are often integrating platforms, improving data quality and redesigning services at the same time. This places ongoing pressure on capability across areas such as digital delivery, data analysis and governance, cyber resilience, user‑focused design and change adoption.
These are also some of the most competitive areas of the labour market. In this context, relying on recruitment alone is rarely affordable or sustainable.
A practical shift: from vacancies to capability
With LGR comes an opportunity to move away from a vacancy‑led approach to workforce planning and towards capability‑led thinking.
In practice, this means focusing on three areas:
1. What capability needs to exist widely?
Baseline digital and data confidence, the ability to work with information, and familiarity with core systems are now required across services, commissioning and leadership roles – not only in specialist teams.
2. Where is depth needed rather than scale?
Some skills will always be specialist, such as cyber security or technical architecture. However, overreliance on a small number of individuals can create risk during periods of change.
3. How does capability move across the organisation?
Reorganisation increases the value of people who can apply their skills across different services and priorities as needs change, rather than being tied to fixed roles.
This shifts the focus from filling individual posts to building capability that can be sustained and redeployed.
Flexible entry routes: Flexi‑job apprenticeships
Some councils are exploring alternative early‑talent models during LGR, including flexi‑job apprenticeships - delivered through flexi-job apprenticeship agencies (FJAAs).
In simple terms, the apprentice is employed by the FJAA rather than the council, but is placed within a council service or team. There, they support day‑to‑day work while completing a recognised apprenticeship.
At the end of the placement, the council has the option to offer the apprentice a permanent role without incurring any additional recruitment costs, or the agency can support the individual in moving on to a placement with another organisation.
This approach can be particularly effective during periods of reorganisation. It avoids increasing permanent headcount while structures are still evolving, enables capability to be developed, reduces recruitment risk in uncertain conditions, and creates meaningful entry routes into cyber, digital, data and technology (CDDaT) roles within the public sector. Used thoughtfully, this model enables councils to build capability during change without committing too early to fixed structures or relying more heavily on temporary solutions.
Recruit, train, deploy approaches
Where skills gaps are more immediate, recruit, train, deploy (RTD) approaches are being implemented by the public sector.
The principle is straightforward. Organisations recruit individuals based on potential and transferable skills, often focusing on career changers, service leavers, returners and those with strong service, communication and problem-solving experience. These individuals are then provided with targeted training aligned to specific CDDaT roles and supported as they transition into teams and begin delivering in a live environment. The result is a practical and scalable approach to building capability, addressing skills shortages and creating new pathways into technology careers
During LGR, these approaches can be particularly effective. Many of the skills required already exist within the workforce and wider local labour market but need to be redirected, while time spent in training is closely linked to real roles to ensure immediate relevance. Like flexi-job apprenticeship models, RTD approaches can provide organisations with additional capability without requiring an immediate commitment to permanent headcount, offering greater flexibility while structures, operating models and future workforce requirements continue to evolve. This also allows skills to be adjusted and redeployed as priorities change, helping councils remain agile and reducing reliance on external suppliers over time
Training and reskilling that supports delivery
Building core cyber, digital, data and technology (CDDaT) capability is a growing priority during LGR. These skills are now required across services, corporate functions and leadership roles, not only within specialist teams.
Reskilling the existing workforce is an important part of this. Many people bring deep service knowledge and strong transferable skills, but have had limited access to supported pathways into technology‑enabled roles.
Training is most effective when it is closely linked to real roles and day-to-day responsibilities, ensuring that learning is immediately relevant and practical. It works best when self-directed learning is combined with live, instructor-led support, giving individuals both flexibility and guidance. Using the tools that people rely on in their roles, such as Microsoft Copilot and Power BI, further strengthens practical capability, particularly when this learning supported by a clear progression pathway.
Well-designed reskilling in this way supports retention, builds confidence and inclusion, and helps create stronger, more sustainable pathways into digital roles over time.
From reorganisation to lasting capability
Reorganisation programmes have defined end points. Skills and capability do not.
When LGR programmes conclude, what remains is the organisation’s ability to operate in a more digital, data‑driven and financially constrained environment.
Councils that place greater emphasis on capability tend to treat skills as part of their core organisational infrastructure, rather than as a secondary consideration. They adopt a more balanced approach, combining recruitment with development, reskilling and alternative entry routes to build a more resilient workforce. Importantly, decisions are made with a longer-term view of workforce needs, ensuring that capability is developed in a way that supports future priorities as well as immediate demands.
LGR brings pressure, but it also brings a rare opportunity to address skills challenges that can otherwise persist for years.
Looking to build lasting capability and address critical skills gaps during LGR? Get in touch with one of our experts to discuss how we can support your organisation’s transformation.
