Sir Keir Starmer is reportedly planning to offer Sadiq Khan a peerage as part of an attempt to placate the London mayor, who has repeatedly broken ranks with the government in recent months.
He is expected to hand the politician the honour in the wake of the May local elections, which are likely to deliver a brutal result for the Labour Party and leave the prime minister’s position severely weakened.
Sources told the Financial Times that, in addition to considering offering Sir Sadiq a peerage, the PM is also considering offering him a Cabinet role as part of yet another Downing Street reset.
One source said that a peerage for Sir Sadiq - who was given a knighthood just last year - would help Sir Keir “shore up his position with patronage” amid growing talk of a possible leadership challenge.
But Downing Street sources dismissed the reports as “speculation”.
It comes just weeks after the London mayor called for Britain to rejoin the EU - a break with the Labour Party’s position on the issue.
Speaking to the Italian newspaper la Repubblica, the Mayor of London outlined a roadmap for closer ties, including returning to both the customs union and the single market, putting him at odds with the prime minister who has repeatedly ruled out undoing Brexit and returning to the bloc.
Speaking about the “damage Brexit has done”, he said he is "quite clear in terms of what needs to happen, which is, we should join the European Union.”
Sir Sadiq added: “We should, as a Labour Party, fight the next general election with a clear manifesto commitment, a vote for Labour means we would rejoin the European Union. I think it’s inevitable.”
And in the wake of the Gorton and Denton by-election - which saw Labour come third behind the Greens and Reform in a previously safe seat - Sir Sadiq heavily criticised Sir Keir, saying Labour must abandon its “flawed strategy” of taking liberal progressives for granted.
Writing in the Guardian, he said: “A political strategy of taking liberal, progressive voters for granted is clearly flawed. The national Labour party and government doesn’t just need to reflect on this result, but fundamentally rethink its approach.”
He also criticised the prime minister for suggesting Green voters were extreme in the aftermath of the defeat.
“The vast majority of those who are thinking of voting Green are not extreme,” Sir Sadiq said. “Many share our values and hopes for the country, but are disappointed with the government. Calling them extreme will only turn more people away.
“The threat to the Labour party is now existential in parts of our country. Without a change in course, we risk a repeat of losing large Labour strongholds, like London, just as we did in the 2000s in Scotland.”
Sir Sadiq’s office have been contacted for comment.
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