Andy Burnham has appointed new Cabinet ministers after taking over from Sir Keir Starmer and sacking some of his predecessor’s most loyal allies.
Chancellor Rachel Reeves, Justice Secretary David Lammy and Communities Secretary Steve Reed were the first to leave their posts on Monday afternoon in a clear-out to make way for the new Prime Minister’s top team.
The appointments included John Healey as Chancellor, Angela Rayner returning as Housing Secretary just months after resigning from the role over a stamp duty scandal, and Ed Miliband becoming Foreign Secretary.
As she left the Treasury in a day of drama in Westminster, Ms Reeves said it had “been the privilege of my life to serve as the Chancellor”.
She added: “The economy today is stronger, fairer and more resilient because of the choices we have taken as a Labour Government over the past two years.”
Shortly afterwards Mr Healey, who resigned as Defence Secretary in Sir Keir’s government in a huge row over military spending, walked up Downing Street.
But it was only after 6pm that Mr Healey, who held junior ministerial Treasury posts during the Blair government, was confirmed as Chancellor.
Former Mayor of Greater Manchester Mr Burnham had faced a tough choice over who to appoint as his Chancellor.
Net Zero Secretary Mr Miliband was initially seen as a frontrunner to take over at the helm of the Treasury.
But some of Mr Burnham’s key allies are said to have warned against the appointment.
He was instead given the plum post of Foreign Secretary.
Home Secretary Shabana Mahmood had also been talked about as a contender to take over leading the Treasury.
But she is said to have wanted to stay at the Home Office, to complete her controversial immigration reforms, and this was confirmed shortly after 6.40pm.
Former Deputy Prime Minister Ms Rayner, who resigned in a tax row, returned to her previous job leading the Ministry of Housing, Communities and Local Government.
One of Mr Burnham’s key allies, Louise Haigh, was appointed First Secretary of State, Chancellor of the Duchy of Lancaster and Minister for the Cabinet Office.
She will be a key power broker in Downing Street.
Among London MPs, Ilford North MP Wes Streeting was appointed Defence Secretary.
Peckham MP Miatta Fahnbulleh replaced Mr Miliband as Net Zero Secretary.
Lewisham West and East Dulwich MP Ellie Reeves, the ex-Chancellor’s sister, became Attorney General.
Lucy Powell, Labour’s Deputy Leader and MP for Manchester Central, was made Education Secretary.
Jonathan Reynolds, MP for Stalybridge and Hyde, was appointed Business Secretary in a beefed up department taking in science.
Former Foreign Secretary Yvette Cooper was made Health Secretary.
Knowsley MP Anneliese Midgley was made Chief Whip.
Work and Pensions Secretary Pat McFadden remained in the same job, as did Culture Secretary Lisa Nandy and Transport Secretary Heidi Alexander.
Bridget Phillipson who was Education Secretary, will be Women and Equalities Minister.
Other appointments included Alex Norris as Justice Secretary, Dame Angela Eagle as Environment Secretary, Sir Chris Bryant as Northern Ireland Secretary, Stephen Kinnock as Welsh Secretary, and Douglas Alexander remains Scottish Secretary.
Before announcing his Cabinet, the new PM told some key members of Sir Keir’s team that they were out of a job.
Mr Reed, MP for Streatham and Croydon North, was the first London MP to lose out.
Departing from Government, he said he would "always fight to ensure London is treated fairly".
Shortly afterwards Tottenham MP Mr Lammy, who was Sir Keir’s Justice Secretary, told how he was returning to the backbenches.
He posted on X: “It has been the greatest privilege of my life, coming from humble beginnings in Tottenham, to serve in government as @Keir_Starmer’s Foreign Secretary, Justice Secretary and Britain’s first Black Deputy Prime Minister.”
Business Secretary Peter Kyle and Science and Technology Secretary Liz Kendall also lost their jobs.
Prisons minister Lord James Timpson resigned from the Government.
Exchequer Secretary Dan Tomlinson, MP for Chipping Barnet, also triggered speculation that he may be leaving the Treasury by posting on X a series of achievements.
