Reeves dealt blow as adviser quits after four months

Rachel Reeves’s proposals to speed up the planning process have been set back by the departure of a senior adviser after four months.

Catherine Howard, a lawyer brought in to overhaul the rules governing development and building, will leave on Jan 1.

She is understood to have advised the Chancellor not to immediately push through radical reforms.

Labour has pledged to build 1.5 million new homes and is relaxing planning regulations to make this easier, and to encourage more infrastructure projects. 

But there are disagreements in Government over how far to take the deregulation. 

Some officials have warned that the proposals could damage EU relationsand 30 Labour MPs have written to the Prime Minister to urge him to abandon some of his more radical reforms.

Recent months have been turbulent in Downing Street, with the departure of a number of senior communications staff.

Ms Howard’s contract comes to an end at the start of January, but it is understood she had been asked to stay indefinitely.

She will instead return to her role as a partner at Herbert Smith Freehills Kramer, the private law firm.

While in Government she is understood to have disagreed with Sir Keir Starmer’s announcement that he would fully adopt the recommendations of a review into speeding up the construction of nuclear power stations.

Ms Howard said: “Over the past four months I have thoroughly enjoyed my time as the Chancellor’s infrastructure and planning adviser, and in my time have had the ability to advise HM Treasury and help steer the important steps the Government is taking to improve the planning system to support economic growth.

“I look forward to continuing my engagement with HM Treasury and Government as I return to the private sector.”

Economy shrinks 0.1pc

Despite the push for growth being at the top of the Government’s agenda, figures released on Friday showed the economy shrank 0.1 per cent in the three months to October.

Ms Howard was appointed in September to advise the Chancellor on planning changes leading up to the Budget, in a move welcomed by senior government officials and some Labour MPs.

Chris Curtis, co-chairman of the Labour Growth Group, said at the time she would be an “exceptional addition” to the Treasury.

Mr Curtis told The Guardian: “Catherine has made a major contribution during her time at the Treasury, not least in ensuring the largest changes to planning in a generation will soon be passed into law. Her expertise has been a great asset to Government.”

Ms Reeves has been accused of losing her grip on power at the Treasury.

Torsten Bell, who has been parliamentary secretary to the Treasury for less than a year, accompanied her to every key meeting with the Office for Budget Responsibility before the Budget.

Senior figures including James Murray, the Chief Secretary responsible for public spending allocations, were snubbed by Ms Reeves in favour of Mr Bell, one of the most junior ministers at the Treasury.

The Tories said the disclosures suggested Mrs Reeves was no longer “calling the shots”.

[Source: Daily Telegraph]