PM hit by more criticism

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The prime minister remains under pressure with the loss of two more cabinet ministers, two other ministers and the resignation of an MP.

Geoff Hoon has left his post as transport secretary, while John Hutton is also stepping down as defence secretary - taking the total number of cabinet ministers who have left the government to five.

And as the row over Gordon Brown's leadership continued, Ian Gibson said he was stepping down as an MP with immediate effect, triggering a by-election in Norwich North.

Having been banned by Labour from standing at the next election following criticism of his expenses claims, Gibson said his position between now and the next election had been made "untenable".

Caroline Flint also resigned as Europe minister, saying Brown was operating "a two-tiered government" consisting of an inner circle and the rest of the cabinet.

And she said the prime minister had treated her like "female window dressing".

In a further blow, work and pensions minister Tony McNulty also announced he was resigning from his post.

In other reshuffle changes, potential leadership contender Alan Johnson replaced Jacqui Smith as home secretary.

And Lord Adonis becomes transport secretary, leading the department from the upper House.

The Department for Innovation, Universities and Skills is abolished, with its responsibilities added to Lord Mandelson's business department.

And Lord Mandelson also takes on the title of 'first secretary of state', reflecting the close alliance he has built up with Brown.

John Denham, previously secretary of state at DIUS, moves to take over communities and local government.

Hutton is replaced by at the Ministry of Defence by Bob Ainsworth, who was already serving in the department as armed forces minister.

And Peter Hain takes on the position of Wales secretary, taking over from Paul Murphy in a surprise return to the cabinet.

Sir Alan Sugar becomes 'enterprise tsar' with an appointment to the House of Lords, while Tessa Jowell is promoted to retain her Olympics brief but also become Cabinet Office minister.

After James Purnell's resignation, Yvette Cooper takes over at the Department for Work and Pensions and Liam Byrne becomes chief secretary to teh Treasury.

Alistair Darling remains as chancellor, despite speculation that children's secretary Ed Balls would replace him.

And foreign secretary David Miliband also remains in post, seeing off suggestions that he could be moved.

Jack Straw stays in post as justice secretary and Jim Murphy remains as Scotland secretary. Ed Miliband retains his position as energy secretary, Ed Balls remains children's secretary and Douglas Alexander stays as international development secretary.

Stakeholder Response: National Union of Teachers

Commenting on the decision to keep Ed Balls on as secretary of state for DCSF, Christine Blower, general secretary of the National Union of Teachers, Europe’s largest teaching union said;

“I am pleased that Ed Balls has stayed at the DCSF. There have been too many changes over the years for any real sense of continuity to develop in education.

“Although he looks like a veteran in comparison to the others who preceded him there is still much to do.

“Now that the highly turbulent reshuffle is over I hope the Secretary of State will devote all his attention to getting to grips with the real needs of schools and communities and not with ideological concerns about choice”.

“Splitting the Education Department in two was never a good idea. There should be one department to cover all sectors of education. History teaches us that the need to apply a joined up approach across the various phases of education is essential”.

Stakeholder Response: NASUWT

Commenting on the confirmation that Ed Balls will remain the secretary of state for Children, Schools and Families, Chris Keates, general secretary of the NASUWT, the largest teachers’ union in the UK, said:

"I am absolutely delighted by this news."

"In the time he has been at the Department for Children, Schools and Families (DCSF) he has demonstrated the skills and personal qualities to engage teachers, parents, children and young people."

"Ed’s term of office has been distinguished by policies which reaffirm the importance of state education."

"I am sure he will continue to support local democratic accountability and build greater cohesion and collaboration, all of which is so essential to ensuring that every child and young person has the highest quality of educational provision."

"It is a tribute to Ed's abilities that he has been able to take this agenda forward positively to its current stage of implementation without setbacks and with a wide consensus of support."