Is Mandelson Brown's big gamble?

Last Modified: 03 Oct 2008
By: Channel 4 News

The prime minister has confounded all expectations by recalling Peter Mandelson to the cabinet.

Mr Mandelson was twice forced to resign from Tony Blair's cabinet, and he and Mr Brown famously fell out 14 years ago when Mr Mandelson supported Mr Blair's bid for the Labour leadership.

Rehabilitating the Svengali of New Labour could be viewed as a masterstroke, or a desperate gamble by the prime minister in the midst of a financial crisis and poor poll ratings.

To make way for Peter Mandelson to become business secretary, John Hutton becomes defence secretary. Geoff Hoon becomes transport secretary. He's replaced as chief whip by Nick Brown.

Meanwhile Ed Miliband takes on a newly created department covering energy and climate change.

Out go Ruth Kelly, whose resignation was leaked at the Labour party conference, and Des Browne.

Baroness Ashton leaves the cabinet to replace Peter Mandelson as European commissioner.