Shabana Mahmood has emerged as the frontrunner to become Andy Burnham’s chancellor after a fierce briefing war over the prospect of Ed Miliband being appointed to the powerful role. Senior Labour figures with knowledge of Burnham’s thinking told the Guardian they expected the home secretary to be moved to the Treasury amid concerns that Miliband would become a target for criticism of the government.
However, sources in Burnham’s team continued to insist that no final decision had been made, adding that his cabinet would be appointed only after he enters No 10 on Monday. The prime minister-in-waiting was out of Westminster on Wednesday for a family event.
The row over who takes over from Rachel Reeves as chancellor has divided Burnham’s allies for weeks. Supporters of Miliband argue he is the only candidate who could challenge Treasury orthodoxy while sharing the next prime minister’s vision for the UK economy.
Key Players in the Chancellor Race
But with big business sceptical and several of the largest unions opposed to the move, the energy secretary’s critics within the party – who have said appointing him could unsettle the markets – have told the Guardian they believed they had been successful in preventing the appointment.
Some MPs had also warned that giving the second most powerful job in government to the politician who led Labour to a general election defeat in 2015 could prove a risky choice with the electorate, regardless of Miliband’s popularity with party members.
Comparison of Candidates for Chancellor
| Candidate | Key Supporters | Key Opponents | Likely Outcome |
|---|---|---|---|
| Shabana Mahmood | Senior Labour figures, Burnham allies | Miliband supporters | Frontrunner to become chancellor |
| Ed Miliband | Party members, some unions | Big business, several unions, MPs | Possible move to Foreign Office |
| Louise Haigh | Burnham’s inner circle | N/A | Expressed qualms about Miliband |
Potential Shifts in Cabinet Roles
Sources told the Guardian that Louise Haigh, one of Burnham’s closest allies, had been having qualms about Miliband’s appointment. “The access talks have certainly focused minds on the economy and the challenges of the autumn,” they added.
The senior figures with knowledge of Burnham’s decisions suggested Miliband would be moved to the Foreign Office instead, potentially with the additional responsibility of first secretary of state, a role regarded as on a par with deputy prime minister. His older brother, David Miliband, had a prominent diplomatic career.
Key Takeaways
- Shabana Mahmood is the expected choice for chancellor under Andy Burnham.
- Ed Miliband may be shifted to the Foreign Office to avoid market unease.
- Internal Labour divisions highlight economic strategy debates.
- Final cabinet appointments will be announced after Burnham enters No 10.
FAQ
Who is Shabana Mahmood?
Shabana Mahmood is a senior Labour politician currently serving as Home Secretary, and she is the frontrunner to become Chancellor of the Exchequer under Andy Burnham.
Why is Ed Miliband not being appointed chancellor?
Ed Miliband faces opposition from big business and some unions, who fear his appointment could unsettle markets. He may instead be offered the role of Foreign Secretary.
When will the new chancellor be announced?
The cabinet appointments, including the chancellor, are expected to be finalized after Andy Burnham enters No 10 on Monday.
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