Sue Gray has quit her role as Prime Minister Keir Starmer’s chief of staff amid claims of a bitter turf war. She will instead take up a new job as the PM’s envoy for nations and regions. Gray will be replaced by Morgan McSweeney, who was previously chief adviser to the PM.

Her departure comes after she was caught up in rows over her pay, which is higher than the Prime Minister’s, and claims of tensions with other staff.

In a statement, she said it had been an honour to “play my part in the delivery of a Labour government”.

“Throughout my career my first interest has always been public service,” she said. “However in recent weeks it has become clear to me that intense commentary around my position risked becoming a distraction to the government’s vital work of change. It is for that reason I have chosen to stand aside, and I look forward to continuing to support the prime minister in my new role.”

The Prime Minister said he was “delighted” Gray would stay by his side in her new role. He said: “Sue has played a vital role in strengthening our relations with the regions and nations. I am delighted that she will continue to support that work.”

A Scottish Labour source said of McSweeney’s new role: “This is a great appointment for Scottish Labour. McSweeney gets Scottish politics and he understands the importance of holding on to Labour’s popularity north of the border.”

Last month, it was leaked to the BBC that Gray was earning more than the Prime Minister, amid a series of briefings against her as chief of staff. The broadcaster was told that Gray was earning £170,000, which would put her on £3,000 more than Sir Keir.

When asked last month to comment on the rumoured infighting between Gray and McSweeney, Sir Keir refused. He said in September: “I’m not discussing individual members of staff. I wouldn’t do that in relation to any member of staff, I’m not going to break that rule. That’s not a new rule for me. It’s a rule I had in opposition. It’s a rule I had when I was director of public prosecutions, when we, from time to time, had interest in senior staff. I think that I owe it to all staff to respect and protect them, and that means I will never discuss them in a session like this.”

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