Andy Burnham, the newly elected Labour leader, faces mounting pressure from the party's Left faction to avoid appointing Shabana Mahmood as Chancellor.

Energy Secretary Ed Miliband, a prominent figure on the Labour Left, is being urged as a more suitable candidate due to his progressive policies and alignment with the party's core values.

The controversy stems from Mahmood's association with the Labour Right and her hardline stance on immigration, which has drawn criticism from Left MPs.

Rachael Maskell, a leading Left-backbencher, has publicly endorsed Miliband, arguing that his leadership in the Treasury would better address climate challenges and decentralize power.The potential appointment of Mahmood has also raised concerns among unions and the public, given her past role in the 2015 general election defeat.Market reactions have been mixed, with some investors wary of her economic policies.

Burnham's team insists no final decision has been made, but the political tensions highlight the deep divisions within Labour ahead of the upcoming government formation.