Shahjahanabad was a splendid city as :
(i) It consisted of a fort palace complex and the city adjoining it.
(ii) It had the Red fort made of sandstone, several dozen bazaars like Chandni Chowk and Faiz bazaar.
(iii) The ama Masjid included, was one of the largest and grandest mosques in India

The Mughal aristocracy in the 17thcentury and the 18th century lived in grand mansions which comprised of walled compounds, courtyards and fountains. They were called havelis.
(i) Many of the Mughal Amirs were unable to maintain these large establishments under conditions of British rule. Therefore, havelis began to be sold.
(ii) Often the street front of the havelis became shops of warehouses. Some havelis were taken over by upcoming mercantile class, but many fell into decay and disuse. The colonial bungalows being different from the havelis became popular as they were meant for nuclear families.

(i) At the end of the 19th century, the Shahjahani drains were closed and a new system of open surface drains was introduced.
(ii) This system was also overburdened due to high population.
(iii) The inhabitants complained about the stench from roadsides privies and overflowing drains. The Municipal Committee was unwilling to spend money on a good drainage system.

(i) The role of Delhi as a historical imperial town or city ended along with the defeat of Bahadur Shah Zafar in 1857.
(ii) The British had already established their control and they did not take any interest in the development of Delhi as, Calcutta was their capital.
(iii) Its laws and orders were badly hurt during the days of mutiny in 1857. Many people had shifted their bases from Delhi due to several reasons

In 1888, an extension scheme called the Lahore Gate Improvement Scheme was planned by Robert Clarke to draw residents away from the old city to a new type of market square, around which shops would be built. It remained incomplete. In 1936, the Delhi Improvement Trust built areas like Daryaganj South for wealthy Indians with houses being grouped around parks.

The refugees who came from Pakistan were mostly rural landlords, lawyers, teachers, traders and small shopkeepers. Partition changed their lives, as most of them were without homes in Delhi and were forced to live in refugee camps for years.
They had to take up new occupations as hawkers, vendors, carpenters, and ironsmiths. Some of them prospered due to their hard work.

As the British wanted Delhi to forget its Mughal past, they first exiled the Mughal king Bahadur Shah Zafar to Burma. They dismantled his court, razed several of the palaces, closed down gardens and built barracks for troops inside Red Fort. Mosques were either destroyed or their usage was changed. Large areas of the city were demolished and its canals filled up, besides many other measures.

In 1947, due to the partition of India, a massive transfer of population took place on both sides of the new border. As a result, the population of Delhi swelled by about 5 lakh people, the kinds of jobs people did changed and the culture of the city became different.
The skills and occupations of the refugees were different from those of the people they replaced, because, while those who went to Pakistan were artisans, petty traders, and labourers, the new migrants '- were rural landlords, lawyers, teachers, traders and small shopkeepers. This large migration change the social environment of Delhi. An urban culture largely based on Urdu was overshadowed by new tastes and sensibilities in food, dress and the arts.

The British understood the symbolic importance of Delhi, as it had been the place from where the Mughal kings ruled. It had also become an important stronghold during the 1857 revolt, In which threatened the collapse of British rule in India. So, the British thought it important to celebrate British power in Delhi with pomp and show.
Thus, a Durbar was held in 1877 to acknowledge Queen Victoria as the Empress of India. Later, in December 1911, a Durbar was held in Delhi to celebrate the crowning of King George V This time the British announced the shifting of India's capital Delhi. These displays were held to show the people the ultimate power and supremacy of the British over India.

De-urbanisation is basically a process by which more and more people leave towns and cities due to the reduction of their political or commercial importance.
During the late 18th century, the earlier trade centers of Machlipatnam, Surat and 
Seringapatam were de-urbanized, as trade shifted to the Presidency cities of Madras, Bombay and Calcutta due to the British rule in the country. Similarly, earlier centers of regional power collapsed when the British defeated the local rulers.

The British and other Europeans lived in the "white" areas in cities such as Madras. 

Three differences in the city design of New Delhi and Shahjahanabad are given in the table below

Young person living in haveli
(i) He has contact with many people as haveli houses many families.
(ii) He has cordial and friendly relationship with his neighbors
(iii) He leads a simple life
(iv) He is habituated to walk in crowded and narrow lanes.
(v) He studies with students coming fromdifferent backgrounds.
Young person living in colonial bungalow
(i) No direct contact with neighbors and relatives as it is meant for one nuclear family
(ii) He has all modern facilities and sophisticated way of life.
(iii) He leads a luxurious way of life, dozens of servants are there to look after his needs.
(iv) He leads a comfortable but isolated life.
 I would prefer to live in a haveli.

The other ways of thinking about Delhi besides those of V7ceroyHarding and architect Herbert Baker's thought were: 
(i) It was a dusty provincial town before being declared as capital of India in 1911. It was no ideal city, its delights were enjoyed only by some rich people. There were sharp distinctions between rich and poor. Havelis and mansions were surrounded by the mud houses of the poor. 
(ii) Delhi was the splendid capital of the Mughal King, Shahjahan consisting of a fort palace complex with an adjoining completely walled city with 14 gates. It had broad main streets, with a canal running in Chandni Chowk.

I think Baker was not right when he spoke so. A sense of awe is very harmful and high buildings don't emphasise the power of any ruler. The real power of a ruler lies only in the welfare activities of states, the progressive development and quick economic development, true secularism and socialism.