Orkney Public Service Reform Progresses Amidst Scottish Government Proposals
Orkney's public sector bodies are collaborating on reform initiatives, aligning with national government plans for restructuring local authorities and health boards.
By Morag Henderson
••3 min read
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Generic image of a microphone on a lectern in front of a government building.
Public service reform work in Orkney is advancing, with local bodies collaborating closely as the Scottish Government progresses its national Public Service Reform (PSR) programme.
The Scottish Government's recent Programme for Government has proposed significant changes, including the consolidation of 14 territorial Health Boards into two Strategic Health Boards and a reduction in the number of local authorities from 32 to between six and ten, supported by 120 to 160 community-level authorities with enhanced local decision-making powers. These proposals are currently subject to discussion and consultation.
The Orkney PSR Steering Group, comprising representatives from the Orkney Islands Council, NHS Orkney, and the Integration Joint Board, has welcomed the government's commitment to developing bespoke solutions for island communities that acknowledge their unique circumstances.
Over the past year, the Steering Group has focused on workforce, service delivery, and streamlining governance through fortnightly meetings, monthly joint leadership sessions between the Council and NHS Orkney, ongoing engagement with the Scottish Government, and a leadership event in June 2026. The group believes Orkney is well-positioned due to its existing work and contributions to national discussions.
Next month, two project officers funded by the Scottish Government will join to support the programme's progression and engagement with local and national partners. Currently, the focus remains on identifying practical opportunities for closer collaboration, improving community outcomes, and ensuring the sustainability and local governance of public services in Orkney.
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"The Scottish Government's proposals have understandably generated considerable interest locally, particularly given the scale of the changes being discussed for local government and healthcare. For more than a year, public sector partners in Orkney have already been exploring how closer collaboration could help us respond to shared challenges around workforce, service delivery and long-term sustainability. We welcome the Scottish Government's recognition that island communities require bespoke solutions. We believe Orkney is well placed to help shape what those solutions could look like and ensure they reflect the needs and circumstances of our communities. Our focus remains on improving outcomes for local people and ensuring public services remain strong and sustainable for the future."
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"The Scottish Government is fully supportive of the local governance work being undertaken in Orkney, led by Orkney Islands Council, NHS Orkney and the Integration Joint Board. We are pleased our support has given partners in Orkney the confidence to play a key role in shaping and delivering this vital set of reforms, ensuring our islands’ priorities and circumstances are fully reflected in our reform programmes."