Participatory Budgeting: an Introduction

Participatory Budgeting An Introduction BACKGROUND Participatory Budgeting (PB) It is important to remember that PB is not empowers communities, about giving away power or reducing gets more people involved the influence of elected politicians. It in democracy and improves is about sharing responsibility more widely. Only a fixed and relatively small local public services. amount of total public spending is It has a proven track record of opened up to public decision making increasing levels of participation, through PB. But often they are the funds engagement and empowerment in a most important to local people, and range of community settings. trusting citizens can have a big impact on their respect for and engagement Major developments such as devolved with representative democracy. Community Budgets, elected Police Commissioners and the establishment There is no fixed definition because of NHS Clinical Commissioning innovative PB projects constantly Groups all cry out for effective ways challenge existing explanations. of letting local people have an input However the short definition is: on spending priorities. ‘Local people deciding PB has been evolving in the UK on how to allocate since 2000, when a delegation of part of a public budget’ community activists from Salford and Or…… Manchester visited Brazil to understand how PB works and how it might be ‘If it feels like we have decided, implemented in the UK. it’s PB. PB was first introduced in the city of If it feels like someone else Porto Alegre in Brazil, in 1989 when has decided, it isn’t.’ public funds were very restricted and demands for democratic reform were strong. Since then it has successfully empowered people in extremely deprived communities. Its tools and principles are now used in many places across the world. There are over 2000 cities worldwide using PB, the list includes UK, USA, Canada, Spain, France and Germany. It is recognised as good practice by international institutions, including the World Bank, UNESCO, OECD, the UN and DFID. Participatory budgeting directly involves local people in making decisions over how public money is spent in their community. This means engaging residents, community groups and representative of all parts of the community to discuss and vote on spending priorities, make spending proposals, and vote on them, as well as giving local people a role in scrutiny and monitoring. Currently, PB programmes There is no set way to start doing PB: MODELS PB in the UK have allocated the process should be designed on spending on services the basis of local circumstances and including crime and anti-social objectives. However, a number of behaviour, the environment, common models have evolved, or road improvements, activities are evolving, in the UK so far. for children and young people, health and wellbeing, Community Grant Pot: A discrete pot community centres and of money for a particular area or theme, improving assets such as e.g. a neighbourhood or for children and young people, is allocated using PB. sports facilities. Community, voluntary and sometimes They have been specific to certain statutory groups propose projects for neighbourhoods or areas, or local funding and then present them at a authority wide where they are often decision day event, where residents themed: for example, children and vote on which should receive funding. young people, and health. But PB is not limited to local authority budgets Devolved funds to wards or – it has also been applied in the UK neighbourhoods: Typically this is to a range of different public budgets either council funding or partnership including those of housing associations, funding, which is devolved closer schools, clinical commissioning groups to the frontline where services are and public health boards. As well as delivered. The funding can be used money distributed by trusts, charities for public and/or third sector projects. and social enterprises. Again, bids are usually presented to a PB can be adapted to suit a wide range public meeting, or perhaps through of situations. Innovative forms of PB an online process for a vote which are being developed all the time and new determine who receives funding. budgets, themes, partners and areas are demonstrating its adaptability. It can be Funding for mainstream services: used to set the priorities for an entire This more closely follows the original budget or to allocate part of that budget Brazilian model of PB. All citizens within for projects. Neighbourhood charters, an area are able to vote on which public community plans, and parish plans can services should receive additional be used as a first phase to help identify funding and are also involved in setting a community’s priorities. Funding can the priorities for the locality which will then be allocated before the community shape how the money is used. votes for schemes it wants to implement within those priorities. THE BENEFI THE PB is most effective when effectively at key services. Involving it is inclusive, helping bring the community not only gives about real change in the them greater understanding of the relationship between citizens, financial situation, but enables them communities, public sector to be part of the solution. officials and elected bodies. • Improving services – PB ensures that services are better tailored to Expenditure cuts have required difficult local circumstances, and improves decisions to be taken, and Participatory resident satisfaction. By involving Budgeting techniques can be valuable people in deciding what services in determining the opinions of residents, they need and want in their area, business or other stakeholders. With an services can be more responsive increasing number of judicial reviews as T and targeted. This can bring greater communities and individuals challenge S OF PB OF S efficiencies and develop a sense funding priorities, this is one way to of shared responsibility between persuade the courts that meaningful service providers/commissioners consultation and engagement has and residents. taken place. • Strengthening and renewing It can create other benefits too, democracy – PB builds relationships including: between residents, councillors and • Building stronger communities and officers; providing a stronger role for empowered citizens PB offers greater councillors as community leaders community cohesion, as diverse and demonstrating transparency people come together to make and accountability to their decisions, they meet others from electorates. This in turn develops their community, sometimes for the mutual trust and confidence in first time. This builds understanding representative democracy and and fosters community cohesion. encourages more people to take an If people are enabled to vote on active part in their community. how to spend money, they can Many international examples show feel empowered to take positive that when PB is done well citizens action themselves, and take greater come to respect political leaders, are ownership over their area. more willing to pay local taxes, or even • Better understanding of the pay more tax. But only where they complexities of setting public know they can also influence how that budgets and choosing between money is then spent. competing priorities – In a time of financial restraint and tough budget choices, PB can be used to prioritise budgets and target resources more PB has changed (for the better) out of all recognition my relationship with Officers and Elected Members’ Chris Parsons Resident Eastfield, N. Yorks. I approached this as a local officer would, who thought I was in charge and I knew best. I was very firmly told by the residents that I wasn’t in charge and I didn’t know best – and they were absolutely right Stuart Pudney Deputy Chief Executive, Yorks Police Authority VALUES, PRINCI VALUES, The PB values, principles and standards document that can be found on the PB Network website sets out the minimum expectations for the way PB is implemented in the UK, and helps to ensure integrity in PB projects. It is hoped projects will continue to raise the bar to make PB a high quality engagement experience, which remains inclusive and accessible to everyone. P Maintaining standards will help to keep those crucial core benefits of PB, such LES AND AND LES as community empowerment, social cohesion and responsive services. The nine values are: 1. Local Ownership ST 2. Direct Involvement 3. Support for representative democracy ANDARDS OF PB OF ANDARDS 4. Mainstream Involvement 5. Accessibility 6. Transparency 7. Deliberation 8. Empowerment 9. Shared responsibility There is more information within the document “Unpacking the Values, Principles and Standards” which sets out the distinct values, principles and standards needed to run a successful PB programme on the PB website http://pbnetwork.org.uk/values-principles-aned-standards-for-participatory-budgeting/ THE PB PB THE In 2012 the PB Network was Vision established to promote the The vision of the Network is for PB to be concept of PB and advocate recognised as a key and effective tool for: for its wider use. The PB Network provides free • addressing inequalities in service resources and runs events and choices and resource allocation; seminars across the UK and is • engaging and empowering citizens N supported by the PB Partners in discussions on public budgets; (see more overleaf. and E Information • stimulating co-production and T mutual responsibility between The National PB Network exists WORK citizens and the state. to promote the use of PB across England, Northern Ireland, Scotland Goals and Wales. It acts as a hub for The goal for the next 5 years is to move information and research on PB in the PB beyond allocating small pots of UK and internationally, to resource money to voluntary and community improvements in the growth of PB. groups, towards a tool for repeatedly The national PB Network builds on the distributing elements of mainstream success of the previous work promoting public budgets.

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