Purnell leads Cabinet reshuffle

Brown’s new Cabinet begins work

Brown’s new Cabinet begins work

Gordon Brown’s re-shuffled Cabinet began work today as the prime minister’s new year “fight-back” was set-back by the resignation of Peter Hain.

The Neath MP resigned from government to “clear his name” after the Electoral Commission asked the Metropolitan police to investigate his failure to declare £103,000 in donations to his failed campaign to become deputy leader of the Labour party.

He has been replaced at the Department of Work and Pensions by James Purnell, who said he was “honoured” to be continuing his work.

Mr Hain’s second government post as secretary of state for Wales has been handed to Paul Murphy, who held the position from 1999 to 2002.

Mr Purnell has been replaced at the Department for Culture Media and Sport (DCMS) by Andy Burnham, who said he had been given his “dream job”.

Yvette Cooper takes over Mr Burnham’s former job as chief secretary to the Treasury, giving her a vote at Cabinet which she previously attended as housing minister.

Caroline Flint will now speak on housing, with Stephen Timms moved from the Department for Business, Enterprise and Regulatory Reform (BERR) to fill her ministerial position at the DWP.

The re-shuffle further lowers the average age of Mr Brown’s Cabinet, with the three newly promoted Cabinet members being in their thirties.

It comes after the maturity of the prime minister’s advisers was called into question, with the “young Turks” of Ed Miliband, Ed Balls and Douglas Alexander blamed in part for the bungled autumn election.

In further moves Tom Watson leaves the whips’ office to become parliamentary secretary at the Cabinet Office. He was forced to quit government in September 2006 after being exposed as the agitator behind a failed “coup” against Tony Blair.

Gordon Brown denied conspiring with Mr Watson, who wrote a letter urging Mr Blair to “stand aside” at Number 10.

Baroness Vadera becomes an under secretary of state at BERR and Liam Byrne will combine his role as immigration minister with a junior ministerial position at the Treasury.

Mr Purnell, 37, said he was “honoured” to be taking over the DWP, despite being widely considered to be a more natural fit at the DCMS.

Speaking to reporters last night he said he felt “very sorry” for Mr Hain but would continue to work on welfare reform, as initiated by Mr Hain and John Hutton.

Mr Purnell said: “Welfare reform is a key part of any new Labour government. It’s key to aspiration. It’s key to tackling poverty.

“And my priority is to give everyone the chance to be self reliant in old age, to make the right to work a reality, but also for everybody who can work, to make sure that they all know that they have a responsibility to work.”

Mr Burnham, 38, said he had been given his “dream job” and promised to put his “heart and soul” into it.

He said it was a “fantastic time” to be working for the DCMS, pointing to the “thriving cultural and arts sector”, Olympic project and naming of Liverpool as a European Capital of Culture.

He paid tribute to his predecessor and former flatmate, saying Mr Purnell had “made a real impact” at DCMS.

Ms Cooper, 38, will now be allowed to vote alongside her husband Ed Balls at Cabinet, after being promoted to Alistair Darling’s number two.