Over the past half century the neighbourhood has received special attention as a focus for policy making, as the primary building block for democracy, for reducing disadvantage, and as the arena for encouraging greater community participation in the planning and the delivery of services. A profusion of initiatives and programmes have been launched in the United Kingdom to address these objectives and to provide a comprehensive approach to deprivation and disadvantage. In the 1960s the US war on poverty (Levine, 1970) was a major influence, but in subsequent decades similar approaches were reinvented or renamed to fit the ideological stance of different political parties in power. Similar trends have been observed in European states such as France and Denmark (Hall and Hickman, 2002; Kennett and Forrest, 2006; Smith et al, 2007). The neighbourhood was also the primary focus of European Union sponsored initiatives such as the URBAN I and II programmes (Carpenter, 2006). But these trends raise important questions about why there is so much emphasis on the neighbourhood and why central government should devote political capital and resources to what appear to be largely local issues. Over time the focus has widened so that commentators such as Benington (2006) observe a shift from an early``remedial focus on small areas of poverty and disadvantage ... to a more strategic and comprehensive concern with neighbourhood development and citizen participation'' (page 13). Critics have defined the process as`new localism' (Stewart, 1994)ö a market-led approach involving``the decentralisation of responsibility, but not power, from the national to local level'' (Coaffee and Johnston, 2005, page 165). Whilst area-based initiatives (ABIs) demonstrate a commitment to reducing deprivation and improving service delivery, the additional resources are often marginal compared with the