Ken Clarke mooted to shadow Mandelson – and young Osborne

The Mole's posting on November 13 reporting that Tory grandees were pressing David Cameron to recall Ken Clarke to the front bench has led to growing speculation that Ol' Hush Puppies is poised to make a comeback shadowing Lord Mandelson as Shadow Secretary for Business.

With Britain's economy now predicted to lose a further 600,000 jobs in the coming year, lifting unemployment to nearly 3m, Ken's return would give the Tories greater fire power against Gordon 'I saved the world' Brown and his faithful Treasury pet, Alistair Darling, as the economy crumbles.

Brown has retained a poll lead on the financial crisis over the Tories despite the economy collapsing all around him. Recalling Ken now would give the Tories some much-needed beef.

But it would be seen as an admission by Cameron that his rich pal George Osborne has failed. While Osborne would remain in the more senior post as Shadow Chancellor, Ken would in effect be shadowing Osborne as much as he would Mandelson.

Will Ken be happy to settle with BURR - Business, Enterprise and Regulation - while Osborne remains Shadow Chancellor? Clarke's allies believe that the balance has tipped in favour of Ken agreeing to come back.

"David and George are joined at the hip. Ken knows that David is unlikely to ditch George. But he has made it pretty clear he would like to be in government again," said one highly placed Tory source. "Cameron is planning a reshuffle and this would be the shot in the arm we need now."

Recalling Clarke to the Shadow Cabinet table has its risks. Clarke went freelance over the reflation of the economy. He led calls for a cut in VAT which Darling carried out as part of the rescue package, which Osborne and Cameron now oppose. Opinion among Tory supporters responding to the Daily Mail news board is also split about the wisdom of bringing Ken back.

Cameron also has to beef up the party machine for the election which the Mole is still convinced will be later this year. Caroline Spelman is judged to be a failure as party chairman.

She still has inquiries into 'Nannnygate' hanging over her. The word among senior Tories is that Cameron will put the attack dog Chris Grayling into the chairman's seat to lead the attack in the country, with Ken Clarke leading the pack in the Commons.

THE MOLE: TORY RESHUFFLE

FIRST POSTED DECEMBER 29, 2008