As one hand giveth …

Government interference is something the housing sector continually has to battle.

In most cases, Whitehall intervention results in frustration and increased work for housing managers and their staff; more forms to fill in, more criteria to meet, more regulations – often contradictory – to adhere to.

The ODPM’s decision not to challenge additional procurement bureaucracy from the European Commission is a typical example (page 8).

But sometimes, the involvement of government departments can be a force for good.

As we report this week, plans for regional regeneration have both fallen victim to and benefited from Whitehall input.

The Department of Transport’s decision to shelve plans to extend Manchester’s tram system to Oldham and Rochdale are going to severely undermine efforts to regenerate those districts (page 7).

The area is one of the nine housing market renewal pathfinders, and improved transport links are fundamental to the regeneration plans.

Now the government has pulled the plug, the regeneration in its current form is in real danger.

Councillors in the area will, rightly, be furious. Expect sparks to fly between local authorities and transport civil servants as they debate the cutbacks that resulted in the tram extension decision.

Expect sparks to fly between local authorities and transport civil servants

The ODPM, meanwhile, is caught between its commitments to its own flagship regeneration and the need to stand shoulder-to-shoulder with the rest of Whitehall. If John Prescott, as former transport supremo, retains any influence with his old brief, now might be the time to exert it.

Yet while all this is going on, the ODPM is to rationalise the myriad regeneration funding methods open to local authorities, reducing the 42 schemes to a more manageable three (page 11).

These will be based on where the money will be spent rather than, as is now the case, the type of body providing funding.

The deputy prime minister said on Tuesday the current situation is “crazy” and the Audit Commission has also pointed out that the time taken for councils to get funds was starting to make the whole thing unworkable.

The only downside is that the new system will be tested over three years in nine pilot authorities.

Surely it doesn’t take three years to demonstrate that something so obviously right will work?

“Wouldn’t it be better if we could pull all these things together?” said Prescott as he made the announcement.

The government should extend that sentiment to Manchester, where the type of joined-up government of which it claims to be so fond looks unachievable.