British legal and judicial systems undergo radical change

12.00pm

British Prime Minister Tony Blair has announced sweeping changes to the legal and judicial systems and the House of Lords.

Mr Blair used the retirement of Lord Irvine of Lairg to abolish the 1400-year-old office of Lord Chancellor, replace the law lords with an American-style Supreme Court and create an independent system for appointing judges, who are now chosen by the Lord Chancellor.

In a Cabinet reshuffle that was more dramatic than expected, Alan Milburn, the Health Secretary, shocked Westminster by resigning from the Cabinet to spend more time with his family.

A loyal Blairite, he was a potential Labour leader and his decision is a blow for Mr Blair.

Mr Milburn, 45, who has two sons aged 11 and six, said: "I concluded that I cannot do this 24-hour-a-day, seven-day-a-week job in a busy cabinet post and have anything like a normal family life."

He insisted there was no hidden motive for his decision and said he could envisage a return to frontline politics.

The crucial post of Health Secretary was handed to John Reid, the Commons Leader and a Blair loyalist who has now held five cabinet posts in four years.

The new Leader of the Commons is Peter Hain, who is promoted from the Welsh Office.

The ministers who leave the Cabinet are Lord Irvine, Mr Milburn and Helen Liddell, the Scottish Secretary.

Her department and the Welsh Office will become part of a powerful new Department of Constitutional Affairs, which will also take over the work of the Lord Chancellor's Department.

The size of the Cabinet is reduced from 23 to 21.

The new department will be headed by Lord Falconer of Thoroton, a Home Office minister and close friend of Mr Blair, who wins promotion to the Cabinet.

Lord Falconer will preside over the most far-reaching changes to the legal and judicial systems in modern times.

Unlike previous lord chancellors, he will not wear three hats, as head of the judiciary, Speaker of the Lords and a Cabinet minister, and will act only as a departmental minister.

The Law Lords, the highest court in the land, will be scrapped, replaced by a new Supreme Court, in which Lord Falconer will not sit.

Judges will be chosen by a new independent Judicial Appointments Commission, a significant change long favoured by reform groups.

Last night, Lord Falconer hailed the changes as "a new beginning as far as the courts, Crown Prosecution Service and police are concerned".

He will work closely in modernising the criminal justice system with David Blunkett, the Home Secretary, who clashed with Lord Irvine after accusing some judges of being out of touch.

The Government will publish more details of its proposals next month, and there were signs that some of the changes were decided at the last minute.

In a surprise move, Mr Hain will answer Commons questions about Wales and retain the title of Welsh Secretary, while Alistair Darling, the Transport Secretary, will answer questions on Scottish affairs and add the post of Scottish Secretary to his title.

The confusing new arrangements for Scotland and Wales were criticised by some MPs last night.

Today the Prime Minister will announce extensive changes to the junior and middle-ranking ministers outside the Cabinet as he tries to freshen up his team by bringing in new faces.

The departures will include Brian Wilson, the Energy minister, who said last night: "I have had five ministerial jobs in six years and I think it's an appropriate time to change my lifestyle to something more normal. There are a lot of things I can do and say as an MP but not as a minister and I just wanted that change of role."

The human rights group, Liberty, welcomed the radical changes. Mark Littlewood, the campaigns director, said: "At last there will be a clearer separation between judges and politicians ... a modern democracy needs to be based on sensible and logical rules."

But the shake-up provoked criticism in the Upper House last night. Lord Onslow, a Tory peer, condemned scrapping the Lord Chancellor's post. He said: "I don't think I have ever been so angry in the 30 years I have been in this House."

Mr Milburn's departure gave Mr Blair an unexpected headache about how to fill one of the most testing posts in his government. Downing Street dismissed speculation that the job had been offered to another member of the Cabinet before Dr Reid's appointment was announced after a delay of several hours.

The outgoing Health Secretary said: "There will be implications and there will be the wildest of conspiracy theories. But it comes down to a simple thing - a personal choice."

- INDEPENDENT