Across many countries, demographic change is altering where and how people need public services. Populations are ageing, young people are moving to larger cities for work or education, and rural or remote regions are losing residents. These shifts change the demand for services such as schools and hospitals, creating pressure to expand services in growing regions while rethinking provision in places with shrinking populations. As a result, the traditional organisation of service networks no longer aligns with where people live or the types of services they require.
While service networks must evolve in response, governments often lack practical guidance on how to reorganise these networks and what such changes will mean for communities. Reorganisation can bring benefits, such as improved access to specialised care or better use of public resources, but it can also disrupt daily life. For communities losing a school or clinic, it may mean longer travel times, reduced convenience, or declining local vitality.
This project addresses the gap by establishing a benchmark for optimal service networks. It aims to help countries determine the spatial distribution of facilities that would minimise costs while maximising access, given their current and future patterns of demand. The benchmark seeks to offer governments an evidence-based foundation for difficult decisions: where to expand, where to consolidate, and how to balance efficiency with equity across diverse territories.
The project examines how countries currently use policies, funding rules, and regulatory frameworks to allocate facilities across regions. The project will assess the potential impacts of reorganising service networks on key socio-economic outcomes such as access to education and healthcare, labour force participation, fiscal sustainability and the vitality of local communities.
The expected timeline is April 2025 to April 2028.
