Communities secretary Eric Pickles traded blows over fiscal devolution and housing policy with his shadow Hilary Benn at the District Councils' Network assembly at the Local Government Conference earlier today.
Both Mr Pickles and Mr Benn fielded wide-ranging questions from district council chiefs after each making an opening introduction to delegates in Bournemouth.
Mr Pickles praised this week's Growth Deal announcement as signifying the new type of arrangement for transferring powers from Whitehall to local communities. But he warned government would only have the courage to devolve further if the sector maintained a united front.
‘It will be very difficult for government to reverse this process. The only way is local,' Mr Pickles said.
‘The only way to put together proper growth deals is if you have good knowledge of the local economic scene,' he added.
Mr Pickles said he would not support further reorganisation of local government. ‘I believe you get change by addressing issues. That means structure goes for catch up.'
In this context, he said he would ‘not mind if LEPs change if they coalesce around a smaller area within a larger area of a LEP'.
In response, Mr Benn said the tide of devolution was only flowing one way.
He said districts were at the heart of national planning policy and were providing leadership which must be followed.
Sir Michael Lyons review for the Labour party on housing would give councils tools to identify future sites and tackle landbanking, Mr Benn stated.
‘In my view the deal has to be you take responsibility for identifying the sites, you've got the leadership role,' said Mr Benn.
‘In return you need greater certainty and more levers to ensure that is where the development takes place,' he added.
Mr Benn said a future Labour government would be prepared to devolve three times as much cash as the Coalition to combined authorities and areas that choose to come together.
‘I am as strong about devolving to county regions because it is as important as devolving to city regions,' Mr Benn added.
