Ravinder Athwal, the economist who wrote Labour's 2024 election manifesto, has been appointed as senior special adviser to Chancellor John Healey. The move is fuelling speculation about an early general election, as Athwal's expertise in manifesto writing would be valuable if Prime Minister Andy Burnham decides to call a snap election following recent polling improvements. The appointment also comes at a critical time, with Healey preparing his first budget on 28 October amid economic headwinds including high oil prices and rising government borrowing costs.

Athwal, a Cambridge economics graduate, previously worked as a senior economic adviser in Keir Starmer's Downing Street team before leaving to join business advisory group Flint Global. He is expected to start next week, bringing political and economic expertise ahead of a challenging budget. Healey faces significant fiscal constraints, with inflation and borrowing costs expected to have eroded at least half of the £24bn fiscal buffer that predecessor Rachel Reeves had built up, potentially forcing difficult choices on tax rises or spending cuts. The appointment has also fuelled concerns among some Labour figures that the Treasury's cautious approach continues to impose restrictions stemming from the manifesto pledge not to raise income tax, national insurance or VAT.