UK Prime Minister Rishi Sunak on Tuesday shuffled his cabinet to better suit his pledges.
Earlier, Sunak said he wants to focus on the economy, reducing energy prices and turning around his party’s fortunes before the election next year.
With the cabinet reshuffle, the British prime minister has now created a new Energy Security and Net Zero department, led by former business minister Grant Shapps. He also announced three other departments, with one focusing on science and innovation, a personal passion for the British leader.
The former finance minister and multi-millionaire, who once worked for a hedge fund, is trying to steer the economy through a prolonged period of double-digit inflation and stagnation, a situation worsened by the soaring cost of energy.
He is also under pressure to try to prove his belief that Britain can reap the benefits of its departure from the European Union by developing new trade ties with international partners.
Taking to Twitter, Sunak said, “The government needs to reflect the priorities of the British people and be designed to deliver for them.”
“These changes will focus teams on the issues that will build a better future for our children and grandchildren,” Sunak added.
He hailed the standalone energy and net zero ministry as one that would help Britain gain greater energy security and start producing cheaper, cleaner energy to avoid the kind of price hikes people had to pay after Russia’s invasion of Ukraine.
According to Sunak’s spokesperson, the changes might not offer a “silver bullet” to all Britain’s ills, but would help Sunak try to deliver on his agenda.
RISHI SUNAK SHUFFLES CABINET
In January, Sunak promised to tackle Britain’s most serious problems, from cutting inflation to fixing the National Health Service (NHS) and reducing illegal migration, aiming to convince his lawmakers he can lead them into the next election.
He also advocated the need for Britain to become the “next Silicon valley”, pledging in January to increase public funding for research and development to 20 billion pounds ($24.06 billion).
With the changes
Trade Secretary Kemi Badenoch was given an expanded role, including business and trade
Former culture minister Michelle Donelan was appointed to run the department for science, innovation and technology
Former housing minister Lucy Frazer took on the new role for culture, media and sport
Greg Hands, a former trade minister and one-time party enforcer for the Conservatives, was appointed party chair
UK’s NIESR CUTS GROWTH OUTLOOK FOR 2023
Meanwhile, Britain’s National Institute for Economic and Social Research (NIESR) cut its forecast for gross domestic product growth this year to 0.2 per cent from 0.7 per cent in its last forecast in November, and sees growth of 1.0 per cent in 2024, down from 1.7 per cent.
Academic researchers’ forecast on Wednesday said Britain will dodge recession this year but its people will face the after-effects of a severe fall in living standards caused by surging inflation, which will leave millions struggling to pay their bills.
One in four British households would be unable to pay for food and energy without using up savings, borrowing or seeking other help in the 2023/24 financial year, up from one in five during the current year, NIESR said.
NIESR’s growth forecasts are somewhat more upbeat than those of the BoE and the International Monetary Fund (IMF), which both forecast last week that Britain’s economy would shrink in 2023.