Guidance

West Midlands Combined Authority – Integrated Settlement Outcomes Framework 2025 to 2026

Published 8 April 2025

Applies to England

This document sets out the Outcomes Framework for West Midlands Combined Authority’s (WMCA) Integrated Settlement for Phase I of the Spending Review in 2025/2026. It includes:

• contextual information across the whole Integrated Settlement, including key local and national priorities (including any related national outcomes or targets) which have shaped the development of the outcomes

• outcomes, indicators, and targets, for each pillar

The outcomes, indicators, and targets follow the principles set out in the Integrated Settlement MOU and Annex.

The Outcomes Framework for 2025 to 2026 reflects pragmatic considerations around measuring outcomes in the one-year phase of the Spending Review. His Majesty’s Government (HMG) and Mayoral Combined Authorities will renegotiate all outcomes and targets for financial year 2026 to 2027 (FY26/27) onwards, to ensure that the framework reflects the scope, quantum, and ambition of the multi-year settlement, in line with the Memorandum of Understanding.

Contextual information

National priorities and related outcomes and targets

National Priorities

The outcomes and targets have been agreed with regard to the following national priorities.

National growth mission: Kickstart economic growth to secure the highest sustained growth in the G7 – with good jobs and productivity growth in every part of the country making everyone, not just a few, better off.

Economic growth is the number one mission of the government. Growth will fund our public services, enable investment in our hospitals and schools, and, most importantly, raise living standards for everyone. Through our growth mission, the government will aim for the highest sustained growth in the G7 – with more people in good jobs, higher living standards, and productivity growth in every part of the United Kingdom. Through the 7 pillars of the growth mission, the government is restoring stability, increasing investment, and reforming the economy to drive up productivity, prosperity and living standards across the UK.

The Plan for Change sets out the milestones the government will deliver nationally to support the Growth mission, the following of which inform the design of the Integrated Settlement’s outcomes and targets.

Higher living standards in every part of the United Kingdom by the end of the Parliament. Government will:

• deliver growth by working in partnership with businesses

• ensure every nation and region realises its full potential

• drive innovation, investment and the adoption of technology to seize the opportunities of a future economy, from AI to net zero

• help people get a job, stay in work, and progress in their careers, with good employment opportunities across the country

Building 1.5 million safe and decent homes in England this Parliament, alongside the critical infrastructure that underpins economic growth – with investment today driving future productivity growth and higher living standards. Government will:

• work in partnership with local leaders, housebuilders and infrastructure developers to deliver investment into these sectors

• increase supply and deliver the biggest boost to social and affordable housing in a generation

In delivering the Integrated Settlement, WMCA will have regard to the government’s growth driving sectors identified in Invest 2035: The UK’s Modern Industrial Strategy - advanced manufacturing, clean energy industries, creative industries, defence, digital and technologies, financial services, life sciences and professional and business services, as well as skills in the health and construction sectors given their importance for achieving the Plan for Change and notable skills shortages.

Related national outcomes and targets

WMCA will be accountable for delivering the targets set out in this outcomes framework. Where relevant, these local outcomes will contribute to the following national targets:

• Statutory net zero by 2050 target (carbon budgets 4-6)
• Statutory fuel poverty target to ensure that as many fuel poor homes as is reasonably practicable achieve a minimum energy efficiency rating of Band C, by 2030.
• 80% employment rate across the UK (Get Britain Working White Paper)
• Creating unified and integrated transport systems, including by delivering improved bus networks, faster and cheaper (manifesto)
• Increase the percentage of short journeys in towns and cities that are walked or cycled to 50% in 2030 and to 55% in 2035 (Cycling and Walking Investment Strategy).
• Fix an additional one million potholes across England in each year of the next parliament (manifesto)
• Transition to electric vehicles through the accelerated roll out of charge points (manifesto)

Contribute to the targets on concentrations of fine particulate matter, PM2.5 (Environment Act 2021).

Local strategic priorities

The Integrated Settlement will further enable the WMCA to realise its vision for a better connected, more prosperous, fairer, greener and healthier West Midlands. The Integrated Settlement builds on a broad programme of existing regional and local strategic programmes geared towards this end.

• The Inclusive Growth Framework, corporate plans and Mayoral manifesto, which give overall direction to the activity of the WMCA, informed by local partners’ priorities for their places.

• The existing Plan for Growth, soon to be evolved into a West Midlands Growth Plan, and strategic programmes for business support, innovation and investment.

• The Local Transport Plan.

• The Adult Skills and Employment Support Strategy.

• A Strategic Place Partnership between WMCA and Homes England, alongside additional strategic programmes for housing development and land use.

• The Regional Energy Strategy, building on West Midlands 2041 net zero strategy.

To make the most of the opportunities presented by the Integrated Settlement, the WMCA and its partners have developed five Functional Strategies, available here, which set out how the Integrated Settlement will be invested to realise the outcomes agreed with HMG. Each Functional Strategy builds on the above regional strategies and programmes and will provide the strategic context to formal funding decisions and business cases. The Functional Strategies fulfil the commitment to develop and deliver outcome delivery plans for the Integrated Settlement, as agreed in the Integrated Settlement Memorandum of Understanding.

To ensure the Integrated Settlement and the five Functional Strategies are rooted in the particular opportunities and challenges facing places across the West Midlands, we have worked with our local partners to develop Place-Based Strategies. Place-Based Strategies will integrate our investment and policy decisions, from within and outside of the Integrated Settlement, around the needs of places across the region.

Scope

• The outcomes are directly linked to the functional responsibilities for the Integrated Settlement for 2025 to 2026.

• The targets have been set against the funds in scope of the integrated settlement for the 2025 to 2026 financial year.

Outcomes Framework 2025 to 2026

Outcome 1: Boost local economic prosperity and living standards through improved business productivity (Local Growth and Place)

Outcome indicators	Baseline	6-month trajectory	Target	Data source
1.1 Number of supported businesses that have increased productivity.			No target 2025 to 2026	To be confirmed
1.2 No. of supported businesses demonstrating improved practice: i. Total (target) ii. Engaged in new markets iii. Adopting new to firm technologies or processes iiiv. With new to market products / services	Not applicable	Total = 35	Total = 275	MCA reporting
1.3 Jobs created by MCA interventions in WMCA priority sectors	Not applicable	250	995	MCA reporting
Outputs	Output indicator	6-month trajectory	Target	Data source
1.a Businesses supported	1.a Total number of business assists	1,780	4,275	MCA reporting
1.b. Residents accessing employment support activity	1.b Number of engaged residents accessing relevant employment support activity	1,150	2,740	MCA reporting

Outcome 2: Deliver the infrastructure needed to support place-based growth (Local Growth and Place)

Outcome indicators	Baseline	6 month trajectory	Target	Data source
2.1 Additional floorspace unlocked because of intervention			No target 2025 to 2026	To be confirmed
Outputs	Output indicator	6 month trajectory	Target	Data source
2.a.  Completion of development / enabling work to unlock land for development	Progress against programme plans	Milestones met for 2025 to 2026	Milestones met for 2025 to 2026	Qualitative progress report

Outcome 3: Improved public transport, especially bus services, in the WMCA area (Local Transport)

Outcome indicators	Baseline	6 month trajectory	Target	Data source
3.1 % mode share of trips made by bus.	7%	Not applicable	7%	DfT National Travel Survey
3.2 Bus patronage patronage (Millions of boardings per year).	236m	Not applicable	238.36	DfT Annual Bus Statistics / TfWM Travel Trends data to supplement reporting
3.3 % total of all bus passengers very and fairly satisfied with bus journey.	76%	Not applicable	78%	Transport Focus Survey (Your Bus journey survey) / TfWM Travel Trends data to supplement reporting
Outputs	Output indicator	Baseline	Target	Data source
3.a Bus punctuality	3.a % of buses departing from stops no more than one minute early and no more than five minutes late across all routes.	77%	80%	ITO World; MF 0700-1100 (local data source). Bus Open Data Service (BODS) from next FY.
3.b Personal security on the bus network	3.b.i % satisfaction with personal security on the bus	73%	75%	Your Bus Journey Transport Focus data
	3.b.ii crime rate per million boardings	18	17	WM BSIP from WM police (local data)
3.c. Satisfaction of disabled passengers	3.c.i % total of bus passengers very and fairly satisfied with bus journey (as responded by disabled passengers	74%	76%	Your Bus Journey Transport Focus data

Outcome 4: Healthier and greener transport in the WMCA area (Local Transport)

Outcome indicators	Baseline	6 month trajectory	Target	Data source
4.1 % change in active travel stages taken by walking and cycling( Note – no targets have been set against this indicator. A multi-year target will be agreed ahead of FY26/27.)			No target 2025 to 2026	Not applicable
Outputs	Output indicator	Baseline	Target	Data source
4.a New or improved Active Travel network delivered	4.a.i New / improved Active Travel network delivered (km) (Note – no targets have been set against this indicator. A multi-year target will be agreed ahead of FY26/27.)		No target 2025 to 2026	Not applicable
	4.a.ii Progress of active travel schemes through key milestones (Note – this is an interim indicator for FY25/26 given delivery lags associated with 4.1 and 4.a.i.	Number of active travel schemes progressing through key milestones (e.g. feasibility design, preliminary design, detailed design, construction started, construction completed).	75% of active travel schemes have completed preliminary design (~OBC stage).	MCA updates to Your Capital Scheme (UYCS) service on gov.uk.
4.b. Provision of HMG-subsidised electric vehicle supply equipment (EVSE) and charging devices.	4.b. Progress to deliver publicly available government-subsidised EVSE and charging devices through key milestones.	Finalising procurement for LEVI-funded charging devices.	Delivery plan agreed with supplier(s) to deliver LEVI-funded charging devices.	MCA reporting.
4.c. Bus fleet emissions.	4.c. % of bus fleet vehicles that is zero emission at tailpipe (that are registered services operating wholly within the WMCA area).	11.5%	20%	Bus operator data (Local data)

Outcome 5:  Increased supply of the infrastructure and quality housing needed by communities (Housing and Regeneration)

Outcome indicators	Baseline	6 month trajectory	Target	Data source
5.1. Number of new homes started (no target for FY25/26)	Not applicable		No target 2025 to 2026
5.2. Unlocked Housing Capacity in FY25/26 measured via contracts agreed between WCMA and funding recipients.	Not applicable		1,770	Local Programme data

Outcome 6: Reduce the number/proportion of residents with no qualifications  (Adult Skills)

Outcome indicators	Baseline	6 month trajectory	Target	Data source
6.1 Reduce the proportion of residents with no qualifications	9.0% (2023 calendar year)		No target 2025 to 2026	APS (ONS)
6.2 Achievement rate of those starting an entry, level 1 or level 2 qualification	80%		No target 2025 to 2026	DfE data
Outputs	Output indicator	6 month trajectory	Target	Data source
6.a. Number of starts	Starts against the statutory entitlements for English, maths, digital skills and L2 statutory quals	Not applicable	20,800	DfE data
	Those undertaking language acquisition training (ESOL)	Not applicable	20,000	DfE data

Outcome 7: Increase the number/proportion of working-age residents qualified Level 3 or above (Adult Skills)

Outcome indicators	Baseline	6 month trajectory	Target	Data source
7.1 Increase the proportion of residents qualified at level 3 or above	60.7% (2023 calendar year)		No target 2025 to 2026	APS (ONS)
7.2 Completion rate of those undertaking a level 3 course	71% (2023 – 24 academic year, ILR)		No target 2025 to 2026	DfE data
Outputs	Output indicator	6 month trajectory	Target	Data source
7.a. Number of starts	Number of starts of a level 3 programme		14,200	DfE data
	Number of starts in priority sectors		9,500	DfE data

Outcome 8: Reduction in direct carbon emissions from domestic buildings, with reduced fuel poverty gaps for treated households in, or at risk of, fuel poverty  (Buildings Retrofit)

Outcome indicators	Baseline	6 month trajectory	Target	Data source
8.1 Reduction in direct carbon emissions from domestic buildings upgraded (modelled)	Not applicable	[To be confirmed]	369 Kt CO2e saving (for the 3-year period)	Modelled energy savings split by fuel type (pre- and post-install EPCs)
Outputs	Output indicator	6 month trajectory	Target	Data source
8.a Number of social homes with a pre-installation Energy Efficiency Rating of D-G upgraded to C or above as a result of the upgrades	8.a. Improved Energy Efficiency Ratings	To be confirmed	12,300 (for the 3-year period)	Pre- and post-install EPCs
8.b Number of private low-income / fuel poor households in a property with a pre-installation Energy Efficiency Rating of D-G upgraded to C or above as a result of the upgrades	8.b. Improved Energy Efficiency Ratings	To be confirmed	1,700 (for the 3-year period)	Pre- and post-install EPCs
8.c Accumulative annual household bill savings (modelled)	8.c Accumulative annual household bill savings modelled from EPC data	To be confirmed	£145.2m over 2025 – 2069 (3 year target)	Modelled bill savings from pre- and post-install EPCs

Outcome 9: Reduction in direct carbon emissions from public sector buildings (Buildings Retrofit)

Outcome indicators	Baseline	6 month trajectory	Target	Data source
9.1 Reduction in direct carbon emissions from public sector buildings upgraded	Not applicable	To be confirmed	3.6 Kt CO2e (per year from 2028/29) (for the 3-year period)	Estimated energy savings split by fuel type. Over time, validated by actual energy savings (feasibility/detailed design studies and smart meter data)

Outcome 10: Disabled residents, residents with long-term health conditions, and other agreed disadvantaged groups with complex barriers are supported to sustain work through delivery of supported employment. (Employment Support)

Outcome indicators	Baseline	6 month trajectory	Target	Data source
10.1 Share of total programme starts to achieve first earnings	Not applicable	1.5%	19%	HMRC RTE data (PRaP)
10.2 Share of out of work participant starts to achieve a lower threshold job outcome	Not applicable	0%	6%	HMRC RTE data (PRaP)
10.3 Share of out of work participant starts to achieve a higher threshold job outcome	Not applicable	0%	2%	HMRC RTE data (PRaP)
10.4 Share of in work participants to sustain employment in line with a higher threshold job outcome	Not applicable	0%	27%	HMRC RTE data (PRaP)
10.5 Share of in work retention participants to retain in employment for 26 weeks	Not applicable	0%	20%	HMRC and PRaP MI (data evaluated by DWP analysts)
Outputs	Output indicator	6 month trajectory	Target	Data source
10.a Programme starts	Share of profiled programme starts to achieve a programme start	27%	950	PRaP
10.b Provision of supported employment	IPS / SEQF fidelity assessments	Not applicable	Completion of  fidelity self-assessment	Internal assessment