Douglas Alexander has been appointed as Scottish secretary following the sacking of Ian Murray.
The MP for Lothian East currently holds two roles in Keir Starmer’s government as minister for Trade Policy and Economic Security and a minister in the Cabinet Office.
He will now become Scottish secretary following a reshuffle by the Prime Minister on Friday.
Alexander is currently in his second stint as an MP after he represented a seat in Paisley under Tony Blair and Gordon Brown.
He was a key Labour figure in the pro-UK Better Together campaign during the 2014 Scottish independence referendum.
The MP lost his seat to the SNP’s Mhairi Black in 2015 before returning to represent Lothian East last year.
The reshuffle of Starmer’s cabinet follows the resignation of deputy prime minister Angela Rayner on Friday morning.
Rayner, who was also housing secretary, stood down after admitting that she underpaid stamp duty on the £800,000 flat she bought in Hove earlier this year.
She said she “deeply regretted” the decision to not seek “additional specialist tax advice” over stamp duty on the property, stressing it was never her intention “to do anything other than pay the right amount” as she resigned.
In a statement, Murray said he was “hugely disappointed” to be leaving government.
He added: “Over the past year, I have worked tirelessly with my wonderful political and civil service team at the Scotland Office to put Scotland at the heart of this UK Government. Together, we have already delivered so much for Scotland.
“I am hugely disappointed to be leaving government, with so much done and so much more to do, but I now look forward to spending a little more time with my wife and two beautiful girls, while continuing to serve the wonderful people of Edinburgh South.”
Following his announcement, Douglas Alexander said: “It’s a real honour to have been appointed Secretary of State for Scotland by Sir Keir Starmer. I look forward to playing a key role in delivering the UK Government’s Plan for Change by boosting economic growth, putting more money in pockets and making life better for people in Scotland.
“There is a huge amount to be done, and I’m very much looking forward to making sure that Scotland continues to be at the very centre of the government’s work – including on our drive to clean power and ensuring our country’s security.”
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