New report: legacy systems the key barrier to government transformation

A new report - 'Leading from  the front: Using data and digital integration to cut costs and improve public services' - surveys the public sector's progress in adopting data-driven approaches to improve service delivery and operational efficiency.

Produced by eSynergy and Government Transformation Magazine, and based on extensive research and contributions from senior government leaders, the report highlights achievements, persistent challenges, and recommendations to maximise the value of data and digital technologies across government departments.

The report underscores the growing reliance on data to inform government decision-making and service improvement. With nearly 50% of major decisions now influenced by data analytics, the importance of integrating accurate and timely information into workflows has never been greater.

Fiona James, Chief Data Officer at the Office for National Statistics (ONS), stressed the importance of demonstrating tangible benefits of data initiatives: “The age-old challenge around data is connecting it to tangible impact—such as cost avoidance or efficiencies. This is what gets leadership buy-in.”

However, the report notes significant gaps in leadership structures and governance. Only 13% of departments assign full responsibility for both data and digital strategy to a single Chief Data Officer. Instead, responsibility is often dispersed among Chief Operating Officers (47%) or Chief Digital and Information Officers (34%), creating fragmented approaches to data management.

Legacy systems continue to obstruct efforts to modernise public services. These outdated infrastructures consume substantial resources while limiting innovation.

Jeremy Gould, Chief Digital Officer at Homes England, reflected on the constraints: “We’re trying to deliver transformative services with mainframe systems that are 30 years old. No one wants to invest money in those things.”

Modernising these systems is vital for achieving seamless integration, reducing costs, and unlocking the full potential of emerging technologies like AI and advanced analytics.

Data Sharing & collaboration challenges

Data sharing remains a critical challenge, with 79% of respondents citing perceived burdens and barriers as key obstacles. The report highlights that addressing cultural and organisational silos is essential to improving interdepartmental collaboration.

Ming Tang, Chief Data and Analytics Officer at NHS England, emphasised the importance of public trust in data-sharing initiatives: “If people don’t trust how their data is being used, they will opt out. Transparency and security are absolutely crucial.”

The report showcases successful public sector initiatives that have leveraged data to improve services:

• Tell Us Once: This service enables citizens to report a death just once, with the information shared across relevant departments, saving time and reducing administrative burden.
• Gov.uk One Login: With over 4 million users, this digital identity service streamlines access to a range of government services.
• Online Passport Applications: Simplified digital processes have reduced application errors and enhanced user satisfaction.

These examples demonstrate how data integration and modernisation can directly benefit citizens and improve public sector efficiency.

Recommendations

The report concludes with actionable insights for government leaders in the Digital, Data, and Technology (DDaT) space:

1. Empower Unified Data Leadership: Elevate the role of Chief Data Officers to provide cohesive strategies across departments.
2. Address Legacy Infrastructure: Invest in replacing outdated systems to enable innovation and reduce costs.
3. Foster Collaboration: Break down organisational silos to enable seamless data sharing and cross-departmental cooperation.
4. Build Public Trust: Ensure transparency and security in data initiatives to maintain citizen confidence.
5. Measure and Communicate Value: Develop frameworks to showcase how data initiatives deliver measurable benefits.

The report makes it clear that while the public sector has made significant strides in leveraging data, much work remains to overcome entrenched challenges like legacy systems and fragmented governance. By implementing the report’s recommendations, government departments can better position themselves to deliver innovative, efficient, and citizen-focused services.

With data-driven transformation at the core of public sector modernisation, the insights provided in the report serve as a roadmap for DDaT executives seeking to unlock the full potential of their organisations.