The governamnt is making 20% cuts in the DCLG.
they are considering stationing Homes and Communities Agency (HCA) and Department for Communities and Local Government (DCLG) staff at councils as part of housing devolution.
Melanie Dawes, permanent secretary at the DCLG, told parliament the department could deploy its housing delivery experts around the country to help councils design their housing programmes.
The comments give the first hint of a revamped role for the DCLG and the HCA in an environment in which more decisions on housing investment and planning are taken locally.
A number of English combined authorities – collections of local authorities set up to pool the running of local services – have over the last few months been striking deals with the government to gain new devolved powers in return for adopting a directly-elected mayor. Combined authorities will be gaining radically increased powers over housing and planning.