'Tough guy': ex-defence minister Healey handed UK Treasury brief

British political veteran John Healey, who quit as defence secretary last month over a funding row, has made a surprise return to run the finance ministry he battled for more military money.

The appointment of the 66-year-old stalwart of ruling centre-left Labour -- an MP for nearly three decades -- caps a steady rise through a multitude of political roles both in and outside government.

The former trade union strategist now holds the second-most senior role in British politics, living next door to new Prime Minister Andy Burnham in Downing Street and wielding influence across the British government.

Overseeing its spending and eyewatering debt levels, he will also be charged with helping deliver what Burnham has said will be a bold economic agenda of re-industrialisation, power decentralisation and easing crippling cost-of-living pressures.

Stephen Phipson, head of the Make UK manufacturers' organisation, welcomed the appointment of "someone with a reputation for being pragmatic, focused on delivery and committed to making government work effectively".

How Healey balances demands from Britain's military establishment and others for even greater boosted defence spending with arguments for fiscal restraint and no new borrowing will be one of his most closely watched tasks.

Blunt in his assessment of the state of the country's armed forces, Healey was a vocal advocate for overhauling its existing infrastructure, upping investment and maintaining tougher responses to Russian aggression.

His June 11 resignation, warning then-leader Keir Starmer that his funding decisions risked the country's safety, was seen as an honourable and principled decision, which nonetheless contributed to the outgoing prime minister's ultimate downfall weeks later.

"You have been unable, and the Treasury has been unwilling, to commit the resources that the nation needs to defend the country at this time of rising threats," Healey wrote in a shock departure letter.

- 'Rough with the smooth' -

Well-regarded as defence secretary -- conducting high-profile visits to Ukraine and NATO allies -- Healey will be seen as a competent choice for finance minister.

He will also be considered a less political appointment compared to reported rivals for the job such as Ed Miliband, who was made foreign minister instead.

Sources told British media Healey was viewed as a trusted and experienced figure who shares the same outlook as Britain's new leader -- though little is publicly known about Healey's broader economic views.

Echoing Burnham's inaugural speech as prime minister outside 10 Downing Street hours earlier, he called his appointment "the greatest privilege" and vowed to create "a new economy, build new hope and advance the working people of this country".

Former Labour leader Neil Kinnock called Healey "a man of really proven capacity, of great integrity and firmness".

"He's a tough guy and it's just the qualities that you need in the Treasury," he told Times Radio, arguing Healey could "assert himself as someone who's been in charge of a big budget" as defence secretary.

"He'll take the rough with the smooth because he knows that's real life."

Campaigns director at the Trades Union Congress and a disability rights campaigner before first entering parliament in 1997, Healey initially served in the governments of that era under prime ministers Tony Blair and Gordon Brown.

His various postings included junior finance ministry roles.

Healey then took on various shadow cabinet policy briefs during Labour's 14 years out of power, before returning to government as defence secretary after its 2024 general election victory.

Representing a seat in south Yorkshire, northern England, he is married with one son and when not in Westminster lives in Rotherham in the region.