Reynolds appointed Business Secretary as DSIT scrapped

New UK Prime Minister Andy Burnham has appointed Jonathan Reynolds as the Secretary of State for Business, Innovation, Science and Trade. This significant move consolidates two previously separate government bodies: the Department for Business and Trade (DBT) and the Department for Science, Innovation and Technology (DSIT).

Reynolds brings prior ministerial experience to the role, having led the DBT until September 2024 before being appointed Chief Whip. His appointment follows weekend speculation that DSIT would be dissolved and its responsibilities absorbed into a broader business-focused department.

DSIT was established in 2023 to centralize the UK's responsibilities for science, AI, digital regulation, and innovation. It has since overseen key initiatives such as the UK's AI Opportunities Action Plan, investments in sovereign AI compute, and the expansion of the AI Security Institute.

The reports of DSIT's closure drew swift backlash from startup founders, investors, and tech policy leaders. Critics argued that another Whitehall reorganization would divert time and resources away from critical AI and digital ambitions. In addition to these changes, Burnham has appointed John Healey, former Defence Secretary, as his Chancellor. The new administration aims to refocus its efforts on driving the UK's economic and technological advancement.