Ravinder Athwal, the economist closely associated with writing Labour's 2024 General Election manifesto, is joining Chancellor John Healey's Treasury team as a senior special adviser.
Athwal is being recruited from business advisory firm Flint Global and is expected to take up the Treasury role next week, around a month before Healey delivers his first Budget on October 28.
The appointment comes amid continuing Westminster speculation over whether Prime Minister Andy Burnham could eventually seek his own electoral mandate by calling an early General Election.
Key figure behind Labour's 2024 manifesto
Athwal was a central figure in the development of Labour's policy programme before the 2024 election and was closely involved in drawing up the manifesto and Keir Starmer's five missions.
He subsequently worked as a senior economic adviser in Starmer's Downing Street team before leaving government for Flint Global.
Before joining Labour, Athwal had also worked as a Treasury civil servant, rising to become head of growth strategy.
Healey strengthens team ahead of Budget
The Guardian reports that Healey has brought Athwal into the Treasury as he strengthens his team ahead of the October Budget.
A source close to the Chancellor described Athwal as an experienced heavyweight economist whose political experience would also provide Healey with guidance and counsel.
The confirmed appointment is not evidence that an early General Election has been decided or that Athwal has been recruited to write a new manifesto.
However, his experience in developing Labour's 2024 election programme means his arrival is likely to attract attention while speculation continues over whether Burnham could go to the country early.
Election speculation continues
Questions over a possible early General Election have intensified in recent weeks, although Burnham has not announced plans to call one.
Conservative leader Kemi Badenoch has said she believes an election could come as soon as December, while Liberal Democrat leader Sir Ed Davey has confirmed his party has begun preparing its next manifesto earlier than usual in case an election is called.
A recent YouGov MRP projected that Labour would remain the largest party if an election were held now but would lose its Commons majority.
Athwal's appointment therefore comes against a politically significant backdrop, but there is currently no confirmation from Downing Street that it forms part of preparations for a General Election.
Budget comes first
The immediate task facing Healey and his strengthened Treasury team is the Chancellor's first Budget on October 28.
Healey faces difficult decisions over tax and spending as the Government seeks to maintain its fiscal rules while responding to pressure from borrowing costs, inflation and the cost of delivering Burnham's policy priorities.
Athwal's experience in both the Treasury and Labour's policy operation gives him a significant role in that process regardless of whether the continuing speculation about an early election ultimately develops into a national contest.