David Blunkett, the Blair ally who resigned as home secretary earlier this year following allegations he misused his position, is back as work and pensions secretary.
Chancellor of the Exchequer Gordon Brown and Home Secretary Charles Clarke remain in their posts as expected. Foreign Secretary Jack Straw also remains after rumors he could be moved. Ruth Kelly stays on as Education Secretary.
Former Trade and Industry Secretary Patricia Hewitt will take over as health secretary from John Reid, who will move to defense.
That leaves Geoff Hoon free for the job of Commons leader.
Douglas Alexander is appointed Europe Minister, made a cabinet post in anticipation of the referendum on the European Constitution.