Governments are under growing pressure to respond more effectively to rapid technological, economic and societal changes while maintaining stability and fiscal sustainability. A significant transformation of the functioning of governments needs to take place that can take advantage of digital and AI tools, and the opportunity of large cohorts of retiring civil servants to change the culture. Based on the analysis of cutting-edge practices in governments of OECD countries, Government Unstuck provides a coherent set of actions that will help governments be up to the challenges of today.
Government Unstuck
The Next Frontier of Government Transformation
Introduction
Meaningful approaches to public participation are needed to advance policy reforms
Across OECD countries, people who feel they have some influence in what government does are more likely to trust their national government than those who feel excluded from decision making. Yet in 2025, despite solid confidence in the effect of voting, only 31% felt the political system gave people like them a say. Institutionalising new and more meaningful forms of citizen participation is essential for governments to better understand people’s needs, navigate difficult trade-offs and make policy decisions supported by society.
Excessive regulations and bureaucracy are preventing government from moving at the speed of our times
Governments have accumulated institutional, regulatory and procedural complexity that limits their ability to act quickly, allocate resources effectively and deliver expected results. Some 72% of government respondents, and business organisations in 90% of countries, consider regulation and bureaucracy excessive. Building a simpler, more legible and coherent government is essential to meet citizens' and business’ expectations for more responsive services and build capacity to address long-term challenges such as population ageing and climate change.
The inability to achieve consensus on needed fiscal reforms in many countries is limiting governments' ability to invest in future priorities
Governments must simultaneously address demographic change, digital transformation, environmental challenges and economic uncertainty. Yet public finances in many countries are increasingly constrained by existing commitments and rigid spending structures. Strengthening the ability to reprioritise resources is a key lever to invest in emerging priorities and make active choices about where public money goes.
Digital technologies and AI can help governments be more prepared and proactive
Digital technologies, AI, data and foresight offer governments new opportunities to anticipate risks and detect emerging challenges earlier. While most OECD governments already have much of the data and tools needed, they still lack the governance to make them work together: institutional authority to co-ordinate across organisations, incentive structures that reward anticipation, data infrastructure that connects what government knows into a coherent and actionable picture, and accountability frameworks that make anticipatory public action legitimate.
What can governments do?
A capable and adaptable public workforce is essential to government transformation. Practices that build leadership accountability for cross-government priorities, promote experimentation and innovation, and invest in emerging professions such as AI, data, digital, commercial expertise and service design, can enable public servants to innovate, collaborate and meet future demands.
Faster and more effective delivery depends on modernising the way government works. Practices such as simplified and risk-based regulation, human-centred service design, continuous reduction of internal “beige tape”, and strategic procurement, help translate policy ambition into tangible results.
Stronger trust and better policies emerge when governments engage citizens throughout policy and delivery functions. Practices that give citizens a bigger role in agenda-setting and institutionalise new participation methods and tools, such as citizens’ assemblies and national dialogues, help ensure decisions are informed by societal needs and perspectives and build ownership of decisions taken.
To succeed, governments should measure progress in a way that links activities to outcomes, such as trust, productivity and public value. Intermediate outcome indicators linked to each reform area, using experiential, perception, behavioural and administrative data can help to understand and optimise the impact of reform.
