Thinking Inside the Sandbox: Beyond Public Services Digitalization with Co-Production

This chapter explores how Regulatory Sandboxes can promote innovation and transform public services for citizens through co-production. They can be centered on citizens’ interests and rights and aim to enhance participation, inclusion, and personal data protection in the public sector. We argue that Regulatory Sandboxes are adaptable and forward-thinking regulatory solutions and frameworks that can be useful beyond digital transformation to regulate a range of issues such as fake news, privacy invasion, discriminatory biases, and the use of Artificial Intelligence for governments. Regulatory Sandboxes allow for rapid experimentation, iteration, and learning in a controlled environment, free from the burden of existing regulations. Citizens could be involved in this process by providing input on the types of innovations they would like to see tested in the Sandbox and participating in the testing process. Using relevant literature and case examples, we showcase the advantages and disadvantages of co-production practices, highlighting some initiatives that improved public services. The chapter provides insights into the benefits and trials of using Regulatory Sandboxes as a form of co-production to support policymakers and public managers in designing and implementing more effective public services that meet citizens’ needs.