Home Secretary Yvette Cooper has firmly denied suggestions that Chancellor Rachel Reeves has been sidelined following Sir Keir Starmer's Downing Street reshuffle. Speaking to Sky News on Tuesday, Cooper insisted the situation was "quite the reverse" and that the Prime Minister and Chancellor "have always worked extremely closely together and continue to do so".
Monday's shake-up saw significant changes to the Number 10 team, with Darren Jones, the Chancellor's deputy, moving into a new role as chief secretary to the Prime Minister. Sir Keir also appointed Baroness Minouche Shafik, a former Bank of England deputy governor, as his chief economic adviser and brought in senior Treasury mandarin Dan York-Smith as his principal private secretary.
Economic firepower boost
The reshuffle has been interpreted as the Prime Minister seeking to strengthen Number 10's economic capabilities ahead of the autumn budget. This has led to speculation that Reeves's influence may have been reduced as Starmer centralises economic decision-making within his immediate team.
Sir Keir will convene his senior ministers on Tuesday for their first Cabinet meeting after the summer recess, which also marks the Prime Minister's birthday. On Monday, he emphasised that the Government was moving into its "second phase" with a "more powerful Number 10" and a "focus on delivery".
Budget challenges ahead
Preparations for the budget are expected to dominate the coming weeks, with Reeves facing difficult decisions on potential tax increases or spending cuts. She must meet her self-imposed fiscal rule of balancing day-to-day spending with tax receipts by 2029-30.
When asked about increased Downing Street input following the changes, Cooper told Sky News that "ultimately, the Chancellor always writes the budget" but emphasised this was "always with conversations and discussions with the Prime Minister throughout, so you get that strong support".
Opposition criticism
Conservative leader Kemi Badenoch dismissed the mini-reshuffle as "shifting the deckchairs on the Titanic", adding: "I don't think it's going to make any difference." Speaking to reporters during a visit to Scotland, she questioned the Prime Minister's confidence in the Chancellor, saying: "The fact that he's taken his chief secretary of the Treasury and put him into Number 10 does not inspire me with confidence because he's one of the people who's been making the mess."
Sources used: "PA Media" Note: This article has been edited with the help of Artificial Intelligence.
