Andy Burnham names John Healey as chancellor in first major reshuffle appointment – UK politics live

The Guardian ·

Andy Burnham has begun appointing his first Cabinet after being confirmed as UK prime minister, with John Healey named chancellor in the initial announcement of his reshuffle. The choice marks a significant shift, given Healey resigned as defence secretary last month in protest at Keir Starmer's defence investment plan, arguing it fell short of what was needed for national security. His promotion to the Treasury signals Burnham's intent to install experienced figures who can pursue his stated priorities of fiscal responsibility, re-industrialisation, devolution and tackling the cost of living crisis.

As chancellor, Healey will now be responsible for finding the funding to raise UK military spending to 3% of GDP by 2030, a target he previously said was unachievable under Starmer's plans, and may consider mechanisms such as defence bonds, an idea he championed while at the Ministry of Defence. The appointment is the first of several reshuffle moves reported alongside Burnham's Cabinet formation, which also saw Ed Miliband named foreign secretary and Shabana Mahmood remain as home secretary, while ministers including Rachel Reeves, David Lammy, Peter Kyle and Steve Reed left government.

In short

  • Andy Burnham names John Healey as chancellor in first Cabinet appointment
  • Healey quit as defence secretary last month over Starmer's investment plan
  • He must now fund a rise in defence spending to 3% by 2030

Explained simply

Andy Burnham is the UK's new prime minister and is currently appointing the senior ministers who form his Cabinet, the group of top government officials who run the country's key departments. This is his first major set of Cabinet appointments as PM, and the choices he makes show what he plans to prioritise in government. John Healey is being appointed as chancellor, the minister responsible for controlling government spending.

Healey previously served as defence secretary under former prime minister Keir Starmer. He resigned from that position last month, saying he disagreed with the government's plan for military spending, which he believed fell short of what was needed for Britain's security. His departure was significant because such public resignations over policy disagreements are relatively rare at senior government level.

His appointment as chancellor is notable because it puts him in charge of the Treasury, where he will decide how government money is allocated across all departments. As defence secretary, he argued that military spending needed to increase; now he controls the budget where such increases would need to come from. The appointment suggests Burnham aims to address the defence spending concerns Healey raised, and indicates he wants experienced figures with established positions on key issues in his top team.

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