Housing ministry cedes control of devolution agenda to new department led by Louise Haigh

The Ministry for Housing, Communities and Local Government (MHCLG) will no longer have primary responsibility for devolution following government changes which have handed powers to a new department led by Louise Haigh.

MHCLG or its equivalent has driven the devolution agenda for years under successive governments of different political stripes. But, in one of his first acts as prime minister, Andy Burnham has transferred the strategic function – along with several others – to a new Office for the Prime Minister and the Cabinet.

OPMC will oversee No 10 and the new No 10 North, as well as teams within the Cabinet Office directly serving the prime minister and cabinet. It will take responsibility for local economic growth and devolution strategy from the housing ministry, as well as local economic growth policy from HM Treasury.

According to a statement released today by Baroness Smith of Basildon, the leader of the House of Lords, the new office has been created “to ensure the centre of government is focused on our top strategic priorities”.

The statement said OPMC will be led by the cabinet secretary, Antonia Romeo. However, national newspaper reports indicate that it will be overseen by Louise Haigh, a close Burnham ally who was yesterday appointed first secretary of state – an office which has historically served the same function as deputy prime minister – as well as chancellor of the duchy of Lancaster and minister for the cabinet office.

As part of the machinery of government shake-up, the housing ministry will  take on some new responsibilities. The Office for Equality and Opportunity will be moved out of the Cabinet Office and come within housing secretary Angela Rayner’s remit.