Athwal appointment places economic policy and election speculation in focus

Ravinder Athwal is expected to become a senior special adviser to John Healey next week, strengthening the Treasury team a month before the UK budget. The Guardian reported the appointment as likely to fuel speculation about an early general election; no election decision has been reported.

Athwal wrote Labour’s 2024 manifesto and helped devise Keir Starmer’s five missions. He previously served as a senior economic adviser in Starmer’s Downing Street team and, before joining Labour, worked in the Treasury as head of growth strategy. He is moving from business advisory group Flint Global.

Healey’s team said Athwal’s economic experience and political judgement would be valuable ahead of the budget. His arrival has also prompted discussion in Westminster about the possibility of a snap election or a fresh Labour manifesto, but these remain speculation.

The budget is expected to be constrained by higher borrowing costs and energy prices, which have reduced the fiscal headroom available under Labour’s rules. Healey has said he wants a focused budget, while major tax and spending choices may be left to next year’s spending review.

Persistently high global oil and gas prices could also push up the energy price cap in January. Treasury officials are working on consumer support options, though the report says any help is expected to be less extensive than the universal support introduced in 2022.