The transition blog | No kiss, just a handshake | Brown's first speech

Gordon Brown will establish today a new department for children and schools as he breaks with the Blair era with the biggest Cabinet shake-up since Labour came to power.

After the longest transfer of power between prime ministers in modern times, Mr Brown began a radical reorganisation of Whitehall last night, reflecting his pledge to “change” Britain.

It was also a momentous day in which Mr Blair left the Commons for the last time to a standing ovation from all sides, and then resigned as an MP by the evening as he was confirmed in his job as a Middle East envoy.

In another surprise move it emerged that Mr Brown was discussing with Baroness Williams of Crosby, a former Liberal Democrat leader in the Lords and former Labour minister, an appointment to a foreign affairs advisory post.

Earlier he had promised to bring in a “government of all the talents” and further nonpolitical appointments are expected tomorrow.

Mr Brown has also decided to split the Department for Education into two; one for young people and schools and the other for higher education and skills. That will mean two education ministers in the Cabinet for the first time. Ed Balls, Mr Brown’s long-term economic adviser, was tipped to enter the Cabinet and take charge of the new children’s department.

As Mr Brown began the biggest Cabinet shake-up since 1997, Margaret Beckett and Patricia Hewitt left their jobs as Foreign Secretary and Health Secretary.

Alistair Darling appeared set to take over as Chancellor from Mr Brown and David Miliband was being strongly tipped to succeed Mrs Beckett at the Foreign and Commonwealth Office. Jack Straw is expected to be Justice Secretary.

Times Recommends

• The real-life adventures of Tintin the spy
• Our universities face a radical upheaval
• Doctor Who