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Labour leader Sir Keir Starmer is carrying out a reshuffle of his shadow cabinet as the party prepares for the next general election, expected in 2024.

But who has won a promotion in the ranks? Who has been demoted to a lower position? And who is returning to the backbenchers after a stint in a top job?

We bring you all the moves below…

Politics live: Labour reshuffle news as Sunak’s in-tray stacks up

Promoted

The first of the big winners is deputy party leader Angela Rayner, having been formally appointed as the shadow deputy prime minister, solidifying herself in the role if Labour wins the next election. She has also been named shadow levelling up secretary – giving her a departmental brief to get her teeth into.

A Labour source also said she would remain the “strategic lead on Labour’s new deal for working people”.

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Another rise in the ranks was announced with the news that Shabana Mahmood would take over as shadow justice secretary.

Sky News understands she is a key ally to Sir Keir and has been credited with helping transform the party and its campaign machine while acting as its national campaign co-ordinator.

Former leadership contender Liz Kendall has also received a vote in confidence with a big promotion – going from a junior shadow health minister to shadow work and pensions secretary.

Another leap to a full departmental brief was given to Thangam Debbonaire, who has gone from a more obscure role as shadow leader of the Commons to shadow secretary for culture, media and sport.

Pics: PA/Rita Franca/NurPhoto/Shutterstock
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Liz Kendall and Darren Jones are among those Labour MPs getting promoted today. Pics: PA/Rita Franca/NurPhoto/Shutterstock

Pat McFadden had been a senior player in the Treasury team, having held the role of shadow chief secretary to the Treasury.

But now he will take over as the shadow chancellor of the Duchy of Lancaster – a strange title in the Cabinet Office, previously held by Ms Rayner – and as the national campaign co-ordinator.

Perhaps more of a sideways shift than a full-on promotion was gained by Peter Kyle. Having been shadow Northern Ireland secretary, he already held a key role – with ongoing issues at Stormont and continued fallout from Brexit.

He will now take on the shadow science, innovation and technology post – a key part of policy going forward when it comes to jobs and growth.

However, Darren Jones has definitely been promoted as a new member of the shadow cabinet.

He won plaudits as the chair of the business select committee – especially when it came to questioning prominent ministers – and the strong communicator now takes on the role of shadow chief secretary to the Treasury, with the hope he will aid Labour’s economic credibility in the coming months.

Another new entry to Sir Keir’s team, though a well-known name from the past, is Hilary Benn, who comes in as shadow Northern Ireland secretary.

He held multiple government roles in the Blair and Brown years – including environment secretary – and numerous shadow positions since, such as Jeremy Corbyn’s shadow foreign secretary. But he now returns after a seven-year absence from the frontbench.

A more minor promotion, but one all the same, is for Ellie Reeves. She had held a junior position as a shadow justice minister, but now adds deputy national campaign co-ordinator to her job title.

Demoted

One of the biggest casualties of the reshuffle was Lisa Nandy, who lost her position as shadow levelling up secretary to Ms Rayner.

She has been appointed as the shadow minister for international development – essentially the second in command to the shadow foreign secretary – and will keep her seat at the cabinet table.

But it is a lower position than being in charge of shadowing an entire department, and our deputy political editor Sam Coates understands it was a “pretty brutal” conversation between her and Sir Keir.

Less of a big hit was taken by Steve Reed, who has gone from shadow justice secretary to shadow environment secretary.

While the brief may traditionally have been seen as a lesser role, environmental issues often lead to key debates with voters, so it could still be a fruitful place for Mr Reed to make his mark.

One clear demotion was for Lucy Powell, losing her spot as shadow culture secretary. But again, she has been given the consolation prize of leader of the House.

Jonathan Ashworth and Lisa Nandy
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Jonathan Ashworth and Lisa Nandy lost roles – but were put elsewhere in the shadow cabinet

Meanwhile, Jonathan Ashworth has taken a hit, moving from shadow work and pensions secretary to the more obscure role of shadow paymaster general.

But Sky News understands he will stay as a full shadow cabinet member and will play a big role in the general election campaign.

Nick Thomas-Symonds also loses his post as shadow secretary for international trade, but again keeps his cabinet position as a shadow minister without portfolio in the Cabinet Office.

Gone

Kicking off proceedings today was the resignation of Jim McMahon, who quit his post as shadow environment secretary.

In his letter to Sir Keir, Mr McMahon said there was “still some way to go” in his recovery from a serious illness – reported in the Mirror earlier this year as an infection that led him to two weeks in hospital – and he wanted to resign “for the benefit of both my health and my family”.

The party leader thanked him for his service, and also revealed Mr McMahon had been subject to “abuse [and] violent threats” during his time in post.

Rosena Allin-Khan and Jim McMahon
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Rosena Allin-Khan and Jim McMahon are both heading to the backbenches

Another resignation came from Rosena Allin-Khan, who stepped down as the shadow minister for mental health.

Writing to Sir Keir, she revealed tensions, saying: “As discussed previously, and in our call earlier, you made clear that you do not see a space for a mental health portfolio in a Labour cabinet, which is why I told you many weeks ago that I would not be able to continue in this role.”

But she thanked him for the opportunity and promised to fight for a Labour government from the backbenches.

Two other MPs have seen their roles removed and given to someone else – Fleur Anderson who was shadow paymaster general, and Preet Kaur Gill, who was shadow minister for international development.

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‘Consensus has got to be rebuilt’: Harriet Harman reacts to gender ruling on Electoral Dysfunction podcast

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'Consensus has got to be rebuilt': Harriet Harman reacts to gender ruling on Electoral Dysfunction podcast

The Supreme Court ruling on the definition of a woman has “clarified” the 2010 Equality Act, Harriet Harman has said – as she urged people to feel “confident they can use their common sense”.

The Labour peer and former minister put forward the Equality Bill, now the Equality Act 2010, which protects people from discrimination in the workplace and in wider society.

The legislation had become the centre of controversy in the debate about transgender rights as it was not clear whether the term “sex” referred to biological sex or “certificated” sex as legally defined by the 2004 Gender Recognition Act (GRA).

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Last week, the Supreme Court unanimously ruled that the definition of a “woman” and “sex” in the Equality Act 2010 refers to “a biological woman and biological sex”.

It means that some single-sex service providers will be able to exclude trans women if they deem it proportionate and necessary.

But speaking to Beth Rigby on Sky News’ Electoral Dysfunction podcast, Baroness Harman said the providers of single-sex spaces were always able to do this under the Act.

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She said: “What we’ve got to do now, is with the Supreme Court having clarified what we said all along in the 2010 act, that consensus has got to be rebuilt.

“I strongly believe that most people don’t like to see trans people discriminated against and persecuted, and they want to just live and let live and let people get on and live the best lives they can.

“And most people understand that if you’re dealing with women who’ve been traumatised by male violence, it might be that actually a trans woman there prevents them feeling they can be comfortable in a refuge or in a counselling session.”

During the podcast, Baroness Harman, Beth Rigby and Baroness Davidson were played audio sent in from Ellie, a 25-year-old trans woman from Glasgow.

She said she was “devastated” by last week’s ruling.

“I’m scared and I am angry,” she said.

“I don’t think there’s clarity yet as to what this ruling actually means for my community in law.

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“The GRA has now been rendered practically meaningless, and the UK government could respond by saying ‘yep, fair enough, let’s get them updated so that we can make sure that trans people are respected and protected in society for who they are’, but instead, they’ve pounced on us – with government ministers even suggesting that trans women can’t use women’s spaces like toilets.

“I mean, where am I supposed to go?

“It’s clearly not safe for so many trans women like me to use the men’s toilets, not to mention completely dehumanising.

“It’s not appropriate for a male police officer to get to pat down my chest, and it’s also clearly completely unworkable.”

She added: “This whole thing is being done under the guise of making some women feel safer, while actually making so many of us, whether trans or not, materially less safe, and I don’t even think we’d be having this conversation if the media and some politicians hadn’t spent the past five years demonising us.

“It just feels so, so cowardly and cruel.”

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Public failed by water regulators and government – as bills rise, spending watchdog says

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Public failed by water regulators and government - as bills rise, spending watchdog says

Water regulators and the government have failed to provide a trusted and resilient industry at the same time as bills rise, the state spending watchdog has said.

Public trust in the water sector has reached a record low, according to a report from the National Audit Office (NAO) on the privatised industry.

Not since monitoring began in 2011 has consumer trust been at such a level, it said.

At the same time, households face double-digit bill hikes over the next five years.

The last time bills rose at this rate was just before the global financial crash, between 2004-05 and 2005-06.

Regulation failure

All three water regulators – Ofwat, the Environment Agency and Drinking Water Inspectorate – and the government department for environment, food and rural affairs (Defra) have played a role in the failure, the NAO said, adding they do not know enough about the condition or age of water infrastructure and the level of funding needed to maintain it.

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Since the utilities were privatised in 1989, the average rate of replacement for water assets is 125 years, the watchdog said. If the current pace is maintained, it will take 700 years to replace the existing water mains.

A resident collects water at bottle station at Asda, Totton.
Pic: PA
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The NAO said the government and regulators have failed to drive sufficient investment into the sector. File pic: PA

Water firms have grappled with leaky pipes and record sewage outflows into UK waterways in recent years, with enforcement action under way against all wastewater companies.

Despite there being three regulators tasked with water, there is no one responsible for proactively inspecting wastewater to prevent environmental harm, the report found.

Instead, regulation is reactive, fining firms when harm has already occurred.

Financial penalties and rewards, however, have not worked as water company performance hasn’t been “consistent or significantly improved” in recent years, the report said.

‘Gaps, inconsistencies, tension’

The NAO called for this to change and for a body to be tasked with the whole process and assets. At present, the Drinking Water Inspectorate monitors water coming into a house, but there is no entity looking at water leaving a property.

Similarly no body is tasked with cybersecurity for wastewater businesses.

As well as there being gaps, “inconsistent” watchdog responsibilities cause “tension” and overlap, the report found.

The Environment Agency has no obligation to balance customer affordability with its duty to the environment when it assesses plans, the NAO said.

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Thames Water boss can ‘save’ company

Company and investment criticism

Regulators have also been blamed for failing to drive enough funding into the water sector.

From having spoken to investors through numerous meetings, the NAO learnt that confidence had declined, which has made it more expensive to invest in companies providing water.

Even investors found Ofwat’s five-yearly price review process “complex and difficult”, the report said.

Financial resilience of the industry has “weakened” with Ofwat having signalled concerns about the financial resilience of 10 of the 16 major water companies.

Most notably, the UK’s largest provider, Thames Water, faced an uncertain future and potential nationalisation before securing an emergency £3bn loan, adding to its already massive £16bn debt pile.

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Water businesses have been overspending, with only some extra spending linked to high inflation in recent years, leading to rising bills, the NAO said.

Over the next 25 years, companies plan to spend £290bn on infrastructure and investment, while Ofwat estimates a further £52bn will be needed to deliver up to 30 water supply projects, including nine reservoirs.

A "Danger" sign is seen on the River Thames, on the day data revealed sewage spills into England's rivers and seas by water companies more than doubled last year, in Hambledon, Britain, March 27, 2024. REUTERS/Dylan Martinez
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The NAO said regulators do not have a good understanding of the condition of infrastructure assets

What else is going on?

From today, a new government law comes into effect which could see water bosses who cover up illegal sewage spills imprisoned for up to two years.

Such measures are necessary, Defra said, as some water companies have obstructed investigations and failed to hand over evidence on illegal sewage discharges, preventing crackdowns.

Meanwhile, the Independent Water Commission (IWC), led by former Bank of England deputy governor Sir Jon Cunliffe, is carrying out the largest review of the industry since privatisation.

What the regulators and government say?

In response to the report, Ofwat said: “The NAO’s report is an important contribution to the debate about the future of the water industry.

“We agree with the NAO’s recommendations for Ofwat and we continue to progress our work in these areas, and to contribute to the IWC’s wider review of the regulatory framework. We also look forward to the IWC’s recommendations and to working with government and other regulators to better deliver for customers and the environment.”

An Environment Agency spokesperson said: “We have worked closely with the National Audit Office in producing this report and welcome its substantial contribution to the debate on the future of water regulation.

“We recognise the significant challenges facing the water industry. That is why we will be working with Defra and other water regulators to implement the report’s recommendations and update our frameworks to reflect its findings.”

A Defra spokesperson said: “The government has taken urgent action to fix the water industry – but change will not happen overnight.

“We have put water companies under tough special measures through our landmark Water Act, with new powers to ban the payment of bonuses to polluting water bosses and bring tougher criminal charges against them if they break the law.”

Water UK, which represents the water firms, has been contacted for comment.

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Ex-SEC chair, now heading SDNY, offers rebuke in $12M crypto fraud case

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Ex-SEC chair, now heading SDNY, offers rebuke in M crypto fraud case

Ex-SEC chair, now heading SDNY, offers rebuke in M crypto fraud case

Jay Clayton, recently appointed interim US Attorney for the Southern District of New York (SDNY) and former chair of the Securities and Exchange Commission, has begun offering statements in criminal cases involving crypto fraud.

In an April 23 notice, the US Attorney’s Office said Eugene William Austin, also known as Hugh Austin, had been sentenced to 18 years in prison following his conviction on conspiracy to commit wire fraud, conspiracy to commit money laundering, and conspiracy to commit interstate transportation of stolen property. Together with his son, Brandon, sentenced to four years, Austin offered fraudulent crypto investment services, resulting in roughly $12 million in losses to more than 24 people.

“For years, Hugh Austin was the leader of a fraud and money laundering scheme that stole more than $12 million from more than two dozen victims,” said Clayton. “Austin involved his own son in his crimes, working with him to rip off victims and spending investor money on personal expenses, like luxury hotels […] Austin will now be held accountable for the harm he caused to individual investors and others.”

The criminal case involving digital assets marked one of Clayton’s first public statements since becoming the interim US Attorney on April 22. US President Donald Trump nominated Clayton on Jan. 20 when he took office. The district has since seen the resignation of acting US Attorney Danielle Sassoon in response to the Justice Department directing her to halt a case against New York City Mayor Eric Adams.

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The nation’s ‘sovereign district’ overseen by a Trump appointee?

Under current law, Clayton can serve as interim US Attorney for the district for 120 days without Senate confirmation. Senate Minority Leader Chuck Schumer blocked a vote on Clayton’s nomination, saying Trump had “no fidelity to the law.”

Clayton will likely oversee SDNY during the sentencing hearing for former Celsius CEO Alex Mashinsky and potentially other criminal cases involving cryptocurrency. The district is home to ​​Wall Street firms and many of the country’s most prominent financial institutions. 

Magazine: SEC’s U-turn on crypto leaves key questions unanswered

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