For better or worse the Financial Services Authority is safe, for now. Despite the best efforts of Osborne to take away its wholesale market regulatory powers, as he has been promising for well over a year, it will be looking after banking regulation for a while long.  The same can’t really be said of its CEO Hector Sants. Sants had announced his intention to depart, but that now will likely come sooner rather than later.

Considerable upset has been caused after it emerged that Sants emailed his entire three thousand strong staff on polling day gently reminding them that the Tories had promised to scrap the organisation and though it may not happen overnight, ultimately the Tories would sack them all. Guido imagines it was a rather awkward conversation with the new Treasury team today. The FSA board are to meet as a matter of urgency to find a replacement.

Olly Grender will be disappointed…

Going to Downing Street as far as Guido knows are Henry Macrory, Gabby Bertin and Michael Salter.

Ramesh Chabra goes with Osborne to the Treasury, Sue Beeby goes to DCMS.

Expect ministers to take only chiefs-of-staff and policy wonks to their ministries, three dozen staffers at most out of 148 CCHQ staffers.

The rest of CCHQ’s spin team are still kicking their heals at Millbank and considering their offers from lobbyists…

In a rare moment of cross-party support, Labour’s rent-a-rant Denis MacShane has demonstrated why his own ministerial career was so short-lived. For tonight’s Standard he has written ten top tips for new Ministers that include extra special ways of milking the benefits of government office for personal aggrandizement and drinks parties for mates.

“Being a minister for one or five years is fun and tons better than being in opposition or part of the government lobby fodder.” He goes on to suggest the immediate installation of drinks cabinets in offices, laments the new expenses rules for MPs and highlights ways those in government can get round them: “While elderly women MPs must get the late-night train home and risk mugging to please the new misogynist MPs expenses oversight body, you can glide home.” Finally he reminds the new intake to keep diaries, which of course they can cash in on at a later day. And still Labour wonder why they were booted out by the public.

Nearly four and half years ago, when Tony Blair was still the Prime Minister and a mere two days after David Cameron became Tory leader, Guido posted this:

While Guido may have been a little out with his forecast of what the futuristic Sky News graphics would look like, the rest of it unfolded just as was predicted here first.  Not only that, months ago Guido along with the likes of Alex Massie at the Speccie and Mark Littlewood, (the Guido supported winning candidate for the top-wonk job at the Institute of Economic Affairs)  began to talk of the “Change Coalition” that came as such a shock to everyone else. The 1930s “Liberals and Conservatives Unite for Freedom” poster became a near daily occurrence on the blog, (it was even Guido’s Twitter background during the election campaign). Guido even kindly mapped out scenarios not so different to what actually unfolded:

These were greeted with reactions varying from horror to laughter. Who’s laughing now eh?

*Alright, am intentionally gloating.

David Miliband was finally asked about the prospect of his younger brother throwing his hat into what could turn out to a brutal Labour leadership battle. His line is that “the most important thing for both of us is that the family remains strong” Almost identical to his view on the Labour movement.

Mummy Miliband is said to be aware of Ed’s intention to run, and while David may have the media buzz around his campaign, Ed is much more popular with the grassroots and is more liked by the deciding union voting bloc. AV is used in the contest and if Cruddas or David didn’t win outright in the  first round, Labour insiders are confident Ed would hoover up the second preferences and come through the middle. With Brown and Blair consigned to history, Clegg and Cameron seemingly very cosy, the Shakespearean personality battles of the past look set to be inherited by the next generation of the Labour Party. This could break a mother’s heart…

UPDATE : Miliband, D told The World at One that “brotherly love is more important than politics“.

Sir Michael White sucks up to the new government…

“… it’s always good to see an old survivor like Kenneth Clarke back in harness at almost 70. And I hold counterintuitive shares in young Osborne. Danny Alexander as Scottish secretary? Wasn’t he a press officer last time we looked? But Huhne and David Laws are very smart …”

Despite being bound by collective responsibility, the new Ministers have had their Blackberries and phones taken away for Cabinet. Trust levels are obviously high.

Over at Politicalbetting.com thinks Jon Cruddas might throw his hat in the ring for the Labour Party leadership. Guido has spoken to a number of Labour insiders who are divided on the issue. Some say he has to come off the sidelines as a critic and do something now Brown is banished. Others doubt he has the bottle and think he’ll calculate he can’t win and chicken out. If he doesn’t stand it will be another coronation for David Miliband.

The bookies have this morning marked Cruddas up to second favourite ahead of Balls and Ed Miliband. Burnham hasn’t ruled himself out either…

UPDATE : On the basis of a tip and some clues Guido called Matthew MacGregor from Blue State Digital’s London office to ask if his firm was going to be running the Cruddas online operation.  No denial has been forthcoming, so with those clues and the sudden overnight movement on the betting markets it is “Game On” as they say in Labour’s new media circles…