Shabana Mahmood expected to be named Andy Burnham’s chancellor

Shabana Mahmood arrives at Downing Street for Keir Starmer's final cabinet meeting on Wednesday. Photograph: Carl Court/Getty Images View image in fullscreen Shabana Mahmood arrives at Downing Street for Keir Starmer's final cabinet meeting on Wednesday. Photograph: Carl Court/Getty Images Shabana Mahmood expected to be named Andy Burnham’s chancellor The home secretary is the frontrunner for the role ahead of ‘risky’ Ed Miliband, according to senior Labour figures Shabana Mahmood has emerged as the frontrunner to become Andy Burnham’s chancellor after a fierce briefing war over the prospect of Ed Miliband being appointed to the powerful role. Senior Labour figures with knowledge of Burnham’s thinking told the Guardian they expected the home secretary to be moved to the Treasury amid concerns that Miliband would become a target for criticism of the government. However, sources in Burnham’s team continued to insist that no final decision had been made, adding that his cabinet would be appointed only after he enters No 10 on Monday. The prime minister-in-waiting was out of Westminster on Wednesday for a family event. The row over who takes over from Rachel Reeves as chancellor has divided Burnham’s allies for weeks. Supporters of Miliband argue he is the only candidate who could challenge Treasury orthodoxy while sharing the next prime minister’s vision for the UK economy. But with big business sceptical and several of the largest unions opposed to the move, the energy secretary’s critics within the party – who have said appointing him could unsettle the markets – have told the Guardian they believed they had been successful in preventing the appointment. Some MPs had also warned that giving the second most powerful job in government to the politician who led Labour to a general election defeat in 2015 could prove a risky choice with the electorate, regardless of Miliband’s popularity with party members. Sources told the Guardian that Louise Haigh, one of Burnham’s closest allies, had been having qualms about Miliband’s appointment. “The access talks have certainly focused minds on the economy and the challenges of the autumn,” they added. The senior figures with knowledge of Burnham’s decisions suggested Miliband would be moved to the Foreign Office instead, potentially with the additional responsibility of first secretary of state, a role regarded as on a par with deputy prime minister. His older brother, David Miliband, had also been tipped for the role. They suggested Wes Streeting, the former health secretary who quit over Keir Starmer’s leadership, could take over from Mahmood as home secretary. Although he is seen as being on the right of the Labour party and is tough on crime, he is softer than her on immigration. There were concerns within the party, however, that Burnham could change his mind over such a key decision as his chancellor, a cabinet role more than any other that sets the direction of the government. “It feels like Ed is the t