Sue Gray has resigned from her position as Sir Keir Starmer’s chief of staff, Number 10 has announced.
Ms Gray has instead been appointed as the prime minister’s envoy for nations and regions.
Morgan McSweeney, the party’s former campaign director who masterminded July’s election landslide, will replace her as the prime minister’s chief of staff.
Ms Gray said that while it had been “an honour to take on the role of chief of staff”, it had become clear that “intense commentary around my position risked becoming a distraction to the government’s vital work of change”.
“It is for that reason I have chosen to stand aside, and I look forward to continuing to support the prime minister in my new role.”
The prime minister thanked Ms Gray – who famously authored the report into parties in Downing Street during the pandemic – for “all the support she has given me, both in opposition and government and her work to prepare us for government and get us started on our programme of change”.
“Sue has played a vital role in strengthening our relations with the regions and nations. I am delighted that she will continue to support that work,” he added.
Tensions over Ms Gray’s role reached a crescendo when her salary of £170,000 – £3,000 more than the prime minister – was leaked to the BBC in an apparent attempt to damage her politically.
The broadcaster also reported more junior staff were disgruntled they were not being paid more than what they received when Labour was in opposition – despite now occupying more senior government roles.
Government ‘thrown into chaos’
A Conservative Party spokesperson described the latest moves in Downing Street as “chaos” and questioned who was running the country.
“In fewer than 100 days Sir Keir Starmer’s Labour government has been thrown into chaos – he has lost his chief of staff who has been at the centre of the scandal the Labour Party has been engulfed by,” they said.
Sir Keir Starmer has now gone full circle. At lunchtime he replaced Sue Gray, the former civil servant whose appointment has caused him endless pain, with Morgan McSweeney.
While the elevation of his campaign chief was widely welcomed, this is nevertheless a curious move.
Mr McSweeney was his very first chief of staff back in opposition in 2020 and for the first 14 months of his leadership, until he was moved after the botched reshuffle of 2021.
Cabinet members and Labour MPs must hope second time around he will be a better fit.
In doing so, the prime minister is in effect admitting very big personnel mistakes, forced to act eventually because of complaints from every side around him that the situation had become untenable.
At its heart, Ms Gray – who was known in Whitehall as the consummate fixer – had to go because nothing felt like it was being fixed.
She was in charge of preparations for government, but when 5 July arrived they appear scant and progress from there was slow.
But blame for this should lie not with her but with Sir Keir.
If there had been enough due diligence on the appointment, some of these problems might have been anticipated.
“Sue Gray was brought in to deliver a programme for government and all we’ve seen in that time is a government of self-service.
“The only question that remains is: who will run the country now?”
One Labour insider told Sky News that the current leadership “spent years saying how it was time to professionalise the party – but this chaos with Keir Starmer seems remarkably similar to the chaos with Jeremy Corbyn”.
They pointed out that Mr McSweeney previously served as Sir Keir’s chief of staff between 2020 and 2021 before being moved on to his campaign role.
In a major announcement on Sunday, Sir Keir also announced a shake-up of his entire Downing Street operation following disquiet at how the party handled rows over freebies and donations, as well as its decision to axe winter fuel payments for most pensioners.
Vidhya Alakeson and Jill Cuthbertson have been promoted to deputy chiefs of staff, while Nin Pandit has been appointed as Sir Keir’s principal private secretary.
Meanwhile, former journalist James Lyons will join from TikTok to lead a new strategic communications team.
The prime minister said he was “really pleased to be able to bring in such talented and experienced individuals into my team”
“This shows my absolute determination to deliver the change the country voted for,” he added.
One source told Sky News that the news of Ms Gray’s departure came on Sunday after plans for the reorganisation announcement on Monday were leaked to the media.
Her advisory role will be to support Sir Keir and the cabinet in delivering on its devolution agenda.
One former senior adviser in Number 10 told Sky News that “without the authority of the prime minister and the proximity to him, this ‘envoy’ role will not be a serious position in government”.
More cases of a new strain of mpox have been detected in the UK, officials say.
Last week, the UK Health Security Agency (UKHSA) said a single case of the mpox virus variant Clade 1b had been confirmed in London.
The agency has now announced a further two cases have been detected.
The two patients are household contacts of the first and are currently under specialist care at Guy’s and St Thomas’ NHS Foundation Trust in London, it added.
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Mpox: What is the risk?
“The risk to the UK population remains low,” the UKHSA said.
“There has been extensive planning under way to ensure healthcare professionals are equipped and prepared to respond to any further confirmed cases.”
The UKHSA’s chief medical adviser, Professor Susan Hopkins, said: “Mpox is very infectious in households with close contact and so it is not unexpected to see further cases within the same household.
“The overall risk to the UK population remains low. We are working with partners to make sure all contacts of the cases are identified and contacted to reduce the risk of further spread.”
The first case detected in London last week was a person who had been on holiday in Africa.
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They developed flu-like symptoms more than 24 hours after returning to the UK and later developed a rash which worsened in the following days.
The agency said contacts of all three cases are being followed up on and would be offered testing and vaccination as needed.
What are the symptoms of mpox and how is it passed on?
Common symptoms of the disease include a skin rash or pus-filled lesions, which can last between two to four weeks. It can also cause fever, headaches, muscle aches, back pain, low energy and swollen lymph nodes.
Mpox, and the Clade 1b strain, is usually passed on by close physical contact, contact with infected animals, or sexual transmission.
The UK has a stock of mpox vaccines and last month announced more were being procured to support a routine immunisation programme.
A British couple have been found dead in Spain after being caught in the floods last week, their daughters have said.
At least 217 people have died after heavy rain in eastern Spain caused flash floods, with thousands of cars left wrecked in the streets and an unknown number still missing.
Ruth O’Loughlin and Renee Turner told Sky News their parents Don, 78, and 74-year-old Terry Turner, from Pedralba, about 20 miles (33km) west of central Valencia, went missing during the floods – only for their bodies to be found in their car days later.
An FCDO spokesperson said it is “supporting the family” and is “in contact with the local authorities”.
Speaking to Sky News, Ms O’Loughlin said she last spoke to her mother on Monday last week, and a day later saw her messages to Mr Turner were not delivering on WhatsApp.
After seeing reports of the floods, she tried to contact her father and again received no response, before her nephew rang on Thursday to say her parents were reported as missing.
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Despite social media campaigning and calls to the British Consulate, Renee Turner said it was Saturday when they found out Mr and Mrs Turner had died.
“My sister and I both got a phone call to say that they’d been found in their car, and unfortunately they had died,” she said.
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Ms O’Loughlin added: “We’d got told they’d nipped out for gas, as they do.
“Obviously, they weren’t aware of how bad the area was, and their friend said they were aware [the couple went out] as they used to talk all the time.
“And then they didn’t come home.”
Renee Turner insisted both Mr and Mrs Turner would have “without a doubt” heeded flood warnings, but told Sky News “there was no alert”.
“My parents would not have been out,” she added. “We are so angry at the slackness of the Spanish authorities in that respect.
“Not just our mum and dad [have died], there’s hundreds of people, hundreds, and they have to be held accountable for that.”
In their hometown of Burntwood, Staffordshire, Ms O’Loughlin said “everybody knows my mum and dad”. As kids, she recalled how people would come over when Ruth was baking.
She added that Mr Turner “was the clown – everyone loved Dad… he made our childhood absolutely wonderful,” before saying that when they moved to Spain, “everyone knew them there”.
Terry volunteered at a local dog rescue centre and adopted two kittens, Ms O’Loughlin said, which are currently being looked after by the couple’s friends in the area.
“We sort of knew [they were dead] because we knew that our mum would have done anything to get back to those pets,” Ms O’Loughlin added.
Both Renee Turner and Ms O’Loughlin had wanted to move their parents back to England, and the couple had been expected to return home permanently soon.
“We had plans,” Ms O’Loughlin said. “Mum was desperate to come back. She’s a shopper, she missed Morrisons.
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“We were looking at maybe getting a bigger house and moving mum and dad in with us. We could keep our eye on them, we could make sure they were okay.
“The thought of that: My mum said to me that ‘that’s more than I could ever wish for’.”
Foreign Secretary David Lammy expressed the UK’s condolences on X, saying: “The UK government expresses its heartfelt condolences to those affected by the tragic floods across Spain – our thoughts are with those that have lost their lives, their families and all those affected. I have offered the UK’s full support to my friend @jmalbares.”
Meanwhile, the local government in Catalonia warned of “continuous and torrential” rain in two regions today, saying people should avoid travel and stay away from streams and ravines.
Authorities told those nearby the “extreme danger” warning issued for the Barcelona region: “Do not travel unless strictly necessary.”
Authorities have also suspended train services in northeast Catalonia on request from civil protection officials.
Ms Phillipson also announced a rise in maximum maintenance loans so they will now increase in line with inflation, giving an increase of £414 a year to help students with living costs.
The education secretary tried to ward off any panic from students as she said: “I want to reassure students already at university when you start repaying your loan, you will not see higher monthly repayments as a result of these changes to fee and maintenance loans.
“That’s because student loans are not like consumer loans, monthly repayments depend on earnings, not simply the amount borrowed or interest rates – and the end of any long term, any outstanding loan balance, including interest built up, will be written off.”
She said the decision had not been easy but added: “It is no use keeping tuition fees down for future students if the universities are not there for them to attend, nor if students can’t afford to support themselves while they study.”
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Sir Keir Starmer had pledged to abolish tuition fees when he stood to be Labour leader in 2020.
However, the prime minister rowed back on that promise early last year, saying it was no longer affordable because of the “different financial situation” the country was in, and he was choosing to prioritise the NHS.
He said Labour would set out a “fairer solution” for students if they won the election – which they did with a landslide in July.
The change comes as universities have been dealing with a funding crisis, largely driven by a huge drop in overseas students.
Rules brought in by Rishi Sunak’s government made it harder for international students, who pay higher fees than British ones, to bring their families with them to the UK.
Universities have been pleading for more investment, but Ms Phillipson said recently institutes should seek to manage their own budgets before hoping for a bailout from the taxpayer.
When she was in opposition, she also touted the idea of reducing the monthly repayments “for every single graduate” by changing how the loan is paid back.
Writing in The Times in June 2023, she said: “Reworking the present system gives scope for a month-on-month tax cut for graduates, putting money back in people’s pockets when they most need it.”
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However, the idea did not make it into Labour’s 2024 manifesto, which only says that “the current higher education funding settlement does not work for the taxpayer, universities, staff, or students”.
It adds: “Labour will act to create a secure future for higher education and the opportunities it creates across the UK.”
Independent MP Zarah Sultana, who lost the Labour whip after rebelling over the two-child benefit cap, called the latest development “wrong”.
“It’s time to abolish tuition fees and cancel student debt because education is a public good, not a commodity,” she posted on X.
‘Maintenance loans bigger issue’
Money saving expert Martin Lewis earlier explained how higher fees will not necessarily lead to students facing higher yearly repayments, as that “solely depends on what you earn not on what you borrow”.
In a thread on X, he said a more damaging policy was the Tories’ decision last year to drop the salary threshold at which repayments must be made – from £27,000 to £25,000 – and increase the time to clear the loan before it is written off, from 30 to 40 years.
He said: “Increasing tuition fees will only see those who clear the loan in full over the 40yrs pay more. That is generally mid-high to higher earning university leavers only, so the cost of increasing them will generally be born by the more affluent.”
University fees of £1,000 per year were first introduced by the Labour government in 1998, going up to £3,000 in 2006.
The coalition government then tripled the amount to £9,000 in 2012, sparking a huge backlash, particularly against the Lib Dems who had vowed to scrap fees in the 2010 general election campaign.
Since then, there have been further changes to student finance such as the abolition of maintenance grants and NHS bursaries, moving student support increasingly away from non-repayable grants and towards loans.