While local government experts welcomed the devolution of major powers to councils and neighbourhoods, the absence of accompanying financial freedoms has left some questioning whether the coalition's reform programme has the ability to deliver genuine 'localism'.
Ed Cox, director at the Institute for Public Policy Research, said: 'I'm broadly positive about the Government's idea that powers need to be decentralised and given to councils and communities.
'But there are some big challenges in terms of what these powers mean in practice. Specifically, I think power follows money and the absence of new financial powers for local authorities leaves me to question whether they will make effective use of new general powers during a period of spending cuts. Is the Government simply handing down the axe?'
But while both policy experts applauded the community-level engagement, they argued councils should be handed sufficient powers to co-ordinate and scrutinise services provided at arm's length of town halls.
'What framework is in place to stop extremist groups or, more likely, the interests of the sharp-elbowed middle classes or "Nimbys" from taking over at the expense of local residents who are less organised or vocal?'
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