Rayner Returns and Pennycook Persists – Andy Burnham’s New Cabinet

Following weeks of speculation, Andy Burnham announced his new Cabinet on Monday evening.

Angela Rayner has been re-appointed to the Housing Secretary role she stood down from in September 2025 (although she has not been re-instated as Deputy Prime Minister), whilst Matthew Pennycook remains as Minister for Planning, although will now attend Cabinet meetings.

Rayner is seen as a key ally of Burnham, in a reshuffle that has removed many of those viewed as Starmer loyalists  – including outgoing Housing Secretary Steve Reed who will now serve his country from the backbenches. Rayner was one of the original flag-carriers for the seemingly doomed 1.5 million home target, and has also been a long-standing supporter of increased council housebuilding.

Pennycook, meanwhile, has emerged as somewhat of a steady hand as Planning Minister, riding the waves of multiple Housing Secretaries and Prime Ministers. Many in the industry will be pleased that, despite continuing pressure for reforms, a familiar face will be steering the ship, and even more so that he will be taking a seat at the Cabinet table. If nothing else, it emphasises that the Planning and Development industry is still at the forefront of the Government’s mind.

Housebuilders will also be pleased to hear media reports from last week, claiming that Pennycook will present a report on reviving  “Help to Buy” scheme to the new Prime Minister. The report, commissioned by Pennycook whilst still under Starmer’s leadership, may help to convince Burnham that a similar scheme will be the only way to raise council housebuilding – by boosting private housebuilding alongside.

Elsewhere, former Defence Secretary John Healey, who resigned from Starmer’s government last month, has been appointed as Chancellor, whilst Shabana Mahmood remains as Home Secretary.

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