Research and analysis

West Midlands Combined Authority UKSPF evaluation: interim findings

Updated 3 December 2025

Applies to England

Executive summary: West Midlands Combined Authority interim findings

Introduction

The UK Shared Prosperity Fund (UKSPF) provides a total of £3.5 billion of funding for local investment over 4 years (2022 to 2026), with all places in the UK receiving an allocation via a funding formula. Local decision-makers work with their local communities and partners to deliver interventions under three investment priorities: Communities and Place, Supporting Local Businesses and People and Skills.

This interim report presents the emerging findings from the place level evaluation of UKSPF in West Midlands Combined Authority (WMCA), based on research conducted between November 2024 and February 2025. It outlines the progress made to date and presents interim evaluation findings.

Key process evaluation findings

Intervention design

• The investment plan was developed by WMCA in collaboration with their 7 Local Authority (LA) partners, taking into account local needs and priorities within each LA, internal LA evidence on what had worked well in supporting local areas in the past, and identifying priority services that were previously funded via European funding streams. A mix of new and previously established projects were funded.
• A key strength of the design of UKSPF was that it enabled interventions to be led by local organisations, who were seen as best placed to help communities due to their deep understanding of local needs. A key challenge was the delays in funding allocations, which reduced the time LAs had to deliver interventions.

Portfolio implementation

• Procurement was organised both by the WMCA (for elements of Supporting Local Business) and by each of the 7 LAs for the other two investment priorities.
• Two routes for commissioning were used: directly procured provision and open calls. Legal and procurement teams supported the commissioning process and LAs used their standard procurement process.

Intervention delivery

• Interventions were delivered internally by WMCA/LA teams, or externally through contracted delivery partners.
• Timescales were a recurring challenge, with delays in funding notifications and condensed delivery periods.
• Flexibility in reallocating funding was noted as providing benefits by enabling interventions to be tailored to local needs. Challenges were also raised due to a perceived lack of guidance from central government on what outcomes to measure and how to measure them.
• Good relationships between WMCA and LAs, and between LAs and community organisations were highlighted as a key delivery strength.

Data collection and monitoring

• A local system of reporting and performance management was implemented by WMCA, involving monthly data collection from LAs, who in turn requested monthly data from their UKSPF delivery organisations in order to report back to WMCA.
• Delivery organisations generally found this process manageable but burdensome, with time taken away from delivery. Again, LAs’ struggled with what they saw as a lack of clarity in terms of central government reporting requirements on outputs, outcomes and eligibility criteria.

Programme oversight

• WMCA Economic Growth Board were responsible for UKSPF delivery and investment in WMCA up to 2024.
• Following this, the Economic Growth Board was replaced by two new groups: the Directors of Economic Development Group and the Directors of Employment and Skills who now oversee delivery and investment.
• In addition, a UKSPF Local Partnership Group provides sector input and expertise into UKSPF funding proposals.
• A separate WMCA Board provides final approval on the funding plan and receives annual updates on programme delivery.
• Largely, interventions were funded solely via UKSPF. However matched funding was utilised across the WMCA for the business grants offered under Supporting Local Businesses, as well as to deliver complimentary activities for larger UKSPF initiatives.

Progress to date: expenditure, outputs and outcomes

As of September 2024, there was an underspend of UKSPF within the WMCA area. At the end of year one, 46% of the allocated funding for 2022 to 2023 had been spent, with the majority spent on Communities and Place. In year two, 63% of the allocated funds were spent, with the majority directed at Supporting Local Businesses. This underspend reflects the late notification of the award of UKSPF, resulting in limited time to commission interventions and for financial claims to be made. Additionally, many of the interventions are intended to run across multiple years. WMCA and LAs expect that allocations will be spent by the end of year three.

Overall, there has been strong performance, with many output targets already achieved. Under Communities and Place, the amount and number of commercial spaces completed or improved, and the number of people attending training sessions have all reached their targets. Supporting Local Businesses is performing strongly, with the vast majority of output measures already at 90% or more of their target, including the number of enterprises receiving financial support other than grants, and the number of local markets created or supported. Within People and Skills, projects were commissioned to deliver from 2024/25. Despite this later start, there is evidence of good progress, with 75% of outputs related to the number of people supported to participate in education achieved, and 57% of the target for the number of socially excluded people accessing support achieved.

Similarly, a large number of outcomes targets have been achieved. For Communities and Place this includes improved perception of safety, and jobs created/safeguarded as a result of support. For Supporting Local Business, three outcomes have surpassed their target: number of enterprises supported, number of projects arising from funded feasibility studies, and number of enterprises adopting new/improved products/services. To date no People and Skills outcome targets have been achieved, with most currently standing at a third or less of their target value. These interventions were only funded in year 3 and they require time to embed before outcomes can be achieved.

Early impact findings

At this stage of the evaluation more evidence is needed to assess UKSPF’s contribution to impact. There is however early evidence of positive effects, particularly in terms of improved perception of facilities/amenities. This had been driven by the renovation and refurbishment activities undertaken with UKSPF across the WMCA, including renovation of Coventry’s job shop, four Family hubs in Solihull, and supporting the development on new community shops.

The outcomes and impact of UKSPF in WMCA will be explored in more depth in the final evaluation report.