Close colleague of the chancellor Ruth Kelly has been made a Cabinet Office minister working with Alan Milburn on policy.

The appointment is being seen as an attempt to maintain balance in the government following the return of arch-Blairite Milburn.

Although Kelly has been working in the Treasury with Gordon Brown, who will be happy to see her involved in Labour's third term manifesto, she is also close to the Blair camp.

She is replaced as Treasury financial secretary by Stephen Timms, the former energy minister, as part of the completion of the prime mister's reshuffle.

Brownite Douglas Alexander, who had the Cabinet Office role, is moved to the joint trade and Foreign Office role at minister of state level in compensation for the loss of his election planning role.

Small scale

As Blair completed the lower levels of his reshuffle there were few surprises and no shocks or sackings.

Tony McNulty is promoted from parliamentary under secretary to minister of state at the Department for Transport.

Junior whip Charlotte Atkins replaces McNulty, who in turn replaces Kim Howells who moves to become further and higher education minister.