Andy Burnham names Shabana Mahmood as chancellor of the Exchequer

Andy Burnham selected Shabana Mahmood to serve as chancellor of the Exchequer, according to The Independent. Mahmood previously served 14 months as justice secretary before moving to the Home Office, where she held the post for 10 months. Officials said the move was intended to place a senior cabinet minister in charge of economic policy.

Treasury. Supporters of Ed Miliband argued that only a minister with deeper economic experience could manage Treasury processes. The Independent reported that Burnham has not publicly confirmed the appointment. Mahmood has also indicated she would have preferred to remain at the Home Office.

Policy implications The Independent noted that the appointment places a cabinet minister without Treasury background in a role that oversees public finances. Mahmood is expected to address how government policies affect household finances. The report stated that a strong chancellor is viewed by some as necessary to maintain fiscal discipline within government spending decisions.