Former housing professional Raynsford has been promoted to minister of state. Department of the Environment, Transport and Regions sources confirmed that he will take on the housing brief.
In a surprise move, Armstrong takes over as regeneration minister from Richard Caborn, who was moved to the Department of Trade and Industry.
Despite losing housing, Armstrong will continue her responsibility for co-ordinating neighbourhood renewal through the work of the Social Exclusion Unit's policy action teams, as well keeping responsibility for rough sleepers.
Speaking to Housing Today, Armstrong said she was "very happy" in her new role but would still be closely involved with housing. "I am going to do regeneration, rough sleepers and neighbourhood renewal, so housing will still play a significant role in my work. I will be doing my best," she said.
The precise details of the ministerial portfolios were still a matter for negotiation almost a week after the reshuffle.
Armstrong said the delay had been caused by confusion over the role of parliamentary under secretaries.
But sources claimed that the delay was in part caused by Deputy Prime Minister John Prescott's desire to show that he and not the Prime Minister is charge of the sprawling DETR.
Leaving Armstrong with some of the housing brief will give Raynsford a chance to carry on some of work he did as a junior minister. It is understood that he hopes to keep responsibility for London.
Raynsford is a familiar figure in the housing world as Labour's spokesman on housing before the election. He is an expert on housing benefit, which is likely to be useful in DETR negotiations with the Treasury over the forthcoming housing Green Paper.
National Housing Federation assistant chief executive James Tickell said: "I would like to pay tribute to Hilary Armstrong for getting housing back on the political agenda and we look forward to working with her in her new capacity."
He claimed that Raynsford's "depth of knowledge of housing" would help carry on Armstrong's work.
Chartered Institute of Housing chief executive David Butler also paid tribute to Armstrong's contribution to housing and her stress on resident involvement. But he added: "We expect to have a very good working relationship with Nick Raynsford in contributing to the Green Paper."
Source
Housing Today
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