Blair retains old guards in key posts

A chastened British Prime Minister carried out a cabinet reshuffle reappointing most of his old-guards in their key posts.

A day after he was voted to power for a historic third term with a drastically reduced majority, a chastened British Prime Minister Tony Blair carried out a cabinet reshuffle reappointing most of his old-guards in their key posts, including his heir-apparent Gordon Brown as finance minister.

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David Blunkett, forced to quit in December last as home secretary after it emerged that a visa application for his ex-lover's nanny was fast tracked, returns as the new work and pensions secretary.

Jack Straw will remain the foreign secretary.

Brown, a more popular figure than Blair thanks to his stewardship of the Britain's strong economy, had been expected to stay on as chancellor of the exchequer.

Brown is virtually certain to become the premier if Blair steps down.

Blair reappointed Deputy Prime Minister John Prescott as first secretary of state, Charles Clarke as the Home Secretary and Ruth Kelly as Secretary, Department of Education.

John Reid former health secretary will be the new defence secretary and former defence secretary Geoff Hoon will be the Leader of the Commons. Former trade secretary Patricia Hewitt will be the new Health Secretary.

The reshuffle sees Alan Johnson take the new post of secretary for productivity, energy and industry, meaning the Department of Trade and Industry will be renamed.