Skip to content
Sunday 16 August 2026London --:--Frankfurt --:--Zurich --:--
NewslettersSearchEN · DE
MorningWire

European business, markets and politics

FTSE 100
10,750.11
-0.21%
DAX
26,440.31
+0.53%
CAC 40
8,636.80
-0.16%
STOXX 50
6,539.59
-0.09%
  • Europe
  • Markets
  • Business
  • Economy
  • Technology
  • Politics
  • Opinion
More
GermanyFranceBankingAIEnergyFintechPropertyCapital Markets
  • Germany
  • France
  • Europe
  • Markets
  • Business
  • Economy
  • Technology
  • Politics
  • Opinion
  • DE
Saturday 09 May 2026 3:12 pm  |  Updated:  Saturday 09 May 2026 3:14 pm

Gordon Brown returns to government as Starmer shrugs off resignation calls

By: Mauricio Alencar

Politics and Economics Reporter

Add as a preferred source on Google
Gordon Brown and Keir Starmer engaged in discussion at a public event, emphasizing leadership and political strategy.
Starmer has brought Brown back into government. PA

Former Prime Minister Gordon Brown has returned to government in a new role as Sir Keir Starmer has scrambled to save his premiership amid discontent among Labour MPs. 

Brown will serve as the government’s special envoy for global finance. He will likely be tasked with sorting finance for defence ahead of the publication of the Defence Investment Plan. 

Starmer also turned to Labour veteran Baroness Harriet Harman, once the party’s deputy leader, as his adviser for women and girls.

The appointments were made after bruising election results across the country, particularly in Wales and Scotland where Labour lost to nationalist parties, giving up control to Plaid Cymru and losing to the SNP again.

Starmer resisted calls for his resignation as he took responsibility for what he described as a “tough” set of local election results.

“I’m not going to walk away and plunge the country into chaos. We were elected to deal with these challenges and that’s what we will do,” Starmer said on Friday.

In another media appearance on Saturday, he echoed his statement that he would he would not quit and claimed appointments of Brown and Harman were “forward-looking”. 

“It’s very future-looking, because this is about making sure that every woman has the opportunities that she deserves. And so Harriet will lead on that work, working with the Cabinet, working with the team.

“For Gordon obviously, one of the big challenges we face is global finance. The war in Iran is causing real problems, economic impact.

“We need more spending on defence and security, that needs to come together around international mechanisms and Gordon’s got a track record on that, and so that is building the strong economy of the future.”

His political manoeuvres came as at least 30 Labour backbenchers publicly called for Starmer to resign. 

Read more

Victory wasted: The cautionary tale of Keir Starmer

Keir Starmer exiting a building, dressed in a suit, amid media attention, reflecting leadership and political significance

Former transport secretary Louise Haigh led the campaign against the Prime Minister on Friday as several MPs suggested Starmer should set out a “timetable” for his exit. 

Starmer dealt blow by damning election results

Most Cabinet ministers came out in support of the Prime Minister in a co-ordinated effort to dampen leadership speculation although the likes of Lisa Nandy and Wes Streeting spoke in vague terms about their support for Starmer. 

Andy Burnham and Angela Rayner also had not made any public comments by Saturday afternoon, long after it became clear that Labour had conceded significant losses.  

Labour lost some 1,400 council seats while Reform UK gained around 1,300 across England. It lost control of Wales for the first time this century while SNP beat Labour by some distance. 

In London, the party held on to some key London boroughs, including Merton and Redbridge, though it lost Wandsworth and Westminster in tightly-fought battles with the Tories.

The Greens took Hackney from Labour as well as Waltham Forest.

Nigel Farage hailed a “historic change in British politics” as Reform gained Havering, its first London council, as well as a swathe of seats in the North of England.

Tory leader Kemi Badenoch said her party is showing “signs of renewal” despite losing hundreds of council seats. The Tories kept Kensington and Chelsea and Hillingdon, plus Bromley and Bexley.

Nigel Farage’s Reform, on the other hand, were hopeful they could take outer boroughs like Hillingdon, Bromley and Bexley. They failed in each of the three councils but took Havering.

Markets held their nerve on Friday, but analysts warned the “woo-woo” bond market could fall into chaos as the political aftermath of the elections takes hold.

Read more

John Healey becomes Chancellor as Andy Burnham names top Cabinet appointments

Chancellor John Healey speaking at a professional event, likely a press conference or address.

Share this article

  • Facebook
  • X
  • LinkedIn
  • WhatsApp
  • Email

Similarly tagged content:

Sections

  • News

Categories

  • Business

People & Organisations

  • Keir Starmer
  • Labour
  • Labour Party
  • Rachel Reeves
  • UK economy
  • UK Government

Trending Articles

  • Grandparents fund university degrees to avoid inheritance tax net

  • Revolut chatbot goes rogue by charging users to cancel subscription

  • Brompton Bicycle sues former adviser for ‘professional negligence’

  • Revolut takes flight with launch of new airport lounges

  • As It Happened: Stocks dip as oil’s ‘slowing demand’ in focus; Iran threatens to extend war

More from Morning Wire

  • Victory wasted: The cautionary tale of Keir Starmer

    Opinion
    Keir Starmer exiting a building, dressed in a suit, amid media attention, reflecting leadership and political significance
  • John Healey becomes Chancellor as Andy Burnham names top Cabinet appointments

    Politics
    Chancellor John Healey speaking at a professional event, likely a press conference or address.
  • Government intervenes on foreign takeover bids for UK defence firms

    Industrials
    UK defence strategy meeting, officials discussing military advancements and security measures in a conference room setting
  • Where are Andy Burnham’s economic advisers?

    Politics
    Andy Burnham and John Healey at Number 10 North, both wearing suits and ties, with a microphone in the foreground.
  • Keir Starmer wasn’t weird enough for Westminster

    Opinion
    Keir Starmer holding a football with a World Cup logo, smiling and engaging in a sports event discussion.
  • ‘That’s reality’: Burnham will have to focus on international affairs, Starmer warns

    Politics
    Business conference attendees networking at a corporate event with banners and presentation screens in the background
  • Starmer took sport freebies worth tens of thousands of pounds while PM

    Sport Business
    Getty Images logo on a digital screen, symbolizing media content and stock photography for news and business platforms
  • Lucy Rigby back as City minister

    Politics
    Lucy Rigby, a blonde woman in glasses and a red blazer, with a phone in her pocket, walking past a black gate.
MorningWire

Independent European business, markets and political news for decision-makers.

Morning Briefing

Europe

  • Germany
  • France
  • Europe
  • UK & Ireland

Business

  • Markets
  • Banking
  • Technology
  • Energy
  • Property
  • Fintech

Editorial

  • Opinion
  • Editorial Policy
  • Corrections
  • Contact

Company

  • About Morning Wire
  • Privacy Policy
  • Terms of Use
  • Cookie Policy
© 2026 Morning Wire Ltd · Published by Morning Wire Media, Bahnhofstrasse 65, 8001 Zürich, Switzerland
Privacy · Terms · Cookies · Facebook