Overview
The Local Autonomy Index 2.0 (LAI 2.0) is one of the most comprehensive comparative datasets on the autonomy of local governments. Rather than measuring decentralization simply through local expenditure or revenues, the LAI examines the legal, political, administrative and fiscal position of local governments within the wider system of government, and arrives at a local autonomy index score from 0-100. The Local Autonomy Index is prepared by the University of Lausanne with funding support from the European Commission.
Country and time coverage
LAI 2.0 covers 57 countries, primarily in Europe and the OECD, over the period 1990–2020.
What does the Local Autonomy Index measure?
The LAI measures the degree of local autonomy: the extent to which local governments can govern their own affairs and influence decisions made at higher levels of government. The framework distinguishes between self-rule—the authority local governments exercise within their own jurisdictions—and interactive rule—their ability to influence decision-making at higher levels of government.
See the main Local Autonomy Index score(s) by country (mean, 2015-2020)
Key variables
LAI 2.0 scores 11 indicators covering different aspects of local autonomy: institutional depth, policy scope, effective political discretion, fiscal autonomy, the financial transfer system, financial self-reliance, borrowing autonomy, organizational autonomy, legal protection, administrative supervision, and access to central or regional government.
See a description of the 11 indicators included in LAI 2.0.
| Variable | What it captures |
|---|---|
| Institutional depth | The extent to which local government is autonomous and responsible for a substantial range of tasks |
| Policy scope | The range of policy functions for which local governments are responsible |
| Effective political discretion | The degree of effective decision-making authority within assigned functions |
| Fiscal autonomy | Local authority over taxation |
| Financial transfer system | The character of intergovernmental fiscal transfers and the extent to which they are unconditional |
| Financial self-reliance | The extent to which local governments rely on their own revenues rather than transfers |
| Borrowing autonomy | Local authority to borrow |
| Organizational autonomy | Local control over political and administrative organization |
| Legal protection | Constitutional or legal protection of local autonomy |
| Administrative supervision | The nature and extent of supervision by higher levels of government |
| Central and regional access | Local governments’ ability to influence higher-level policymaking |
See a country map with indicators scores for the 11 indicators included in LAI 2.0 for 2020.
These indicators are combined into broader dimensions of self-rule and interactive rule. In turn, the indicators contribute to an overall Local Autonomy Index ranging from 1 to 100. Importantly, users can look beyond the headline LAI score and examine the individual indicators and dimensions to understand why local autonomy is considered relatively high or low in a particular country.
As part of the assessment, the functional powers (policy scope and effective political discretion) of local governments are assessed across a wide range of government functions, providing a detailed picture of both what local governments are responsible for and how much discretion they actually exercise within those functional areas.
Methodology
LAI 2.0 is primarily an expert-coded institutional dataset. Researchers familiar with each country assessed local autonomy against a common codebook using legal provisions, institutional information and documentary evidence.
Access and references
Details on the Local Autonomy Index are available through the LAI project’s webpages at the University of Lausanne, including the LAI 2.0 codebook, detailed methodology, LAI 2.0 data set, and supporting coding sheets and country profiles.