The Housing Corporation and government regeneration agency English Partnerships have agreed to increase cooperation in areas such as land supply for housing
As part of a "memorandum of understanding" signed last week, English Partnerships has identified 125 sites across southern England that it feels are ripe for development of affordable housing. They will be sold to the corporation at a discount for that purpose.

This follows comments made by deputy prime minister John Prescott outlining the need for better use of land held by publicly funded agencies such as the Ministry of Defence and the NHS.

English Partnerships chair Margaret Ford said the agreement had come about as part of the March review of the activities of English Partnerships. She said: "We are two agencies funded by the Office of the Deputy Prime Minister and we need our programmes better aligned."

The new relationship also involves collaboration on preparing and assembling sites and providing funding for market renewal pathfinders in the north of England.

In the autumn, there will be a series of announcements on other areas where the two will combine forces.