@43d7c4ea that's what I envisage. A series of local governments within collaborative Federations within a series of larger confederations.
In UK it would return power to Local Government who would hold the spare money and pass it up to regional and federal governments who would fund the confederations in turn. Bottom up government, rather than the top down approach we seem lumbered with. 

 @65cb3dfd @43d7c4ea however, unlike the 19th century when the trajectory was towards greater urbanisation and the increasing centralisation of power, things are likely to be flowing the other way https://www.resilience.org/resources/future-is-rural-report/