Brown clears way for reshuffle next month

Notes are going out to ministers' private offices ordering them to be available for the first week in September.

It would be a "proper" reshuffle, insiders indicated, implying that senior ministers will be on the move, although no final decisions have been taken yet.

Mr Brown is mapping out his plans while holidaying in Suffolk.

The new Cabinet will then gather at the end of the week at Chequers, the Prime Minister's country retreat, for a major political strategy session, where the Prime Minister will present plans on how he aims to restore the Government's popularity and take on the Conservatives in an autumn fight-back.

Mr Brown is determined after his summer break to regain the political agenda. There are signs that the Pre-Budget Report might be brought forward to late October to keep up the momentum with a slew of populist announcements, such as more help for 10p tax losers and a windfall tax on energy giants to fund help for the elderly with their winter heating bills.

The disclosure will spark feverish speculation about the reshuffle - especially the fate of Chancellor Alistair Darling, who has borne the brunt of voter anger at the economic slowdown.

One well-connected MP said there was talk of Mr Darling swapping jobs with Foreign Secretary David Miliband.

Mr Brown is expected to promote several rising stars, including Housing Minister Caroline Flint and Immigration Minister Liam Byrne. There is also talk of Home Secretary Jacqui Smith and Defence Secretary Des Browne being shifted.

After his break, Mr Brown is flying to Beijing for the Olympics and will return to the UK after the August bank holiday when final decisions on a reshuffle would be made with close advisers and the whips.

Allies admit that the Prime Minister needs a successful September to defeat a guerrilla-style challenge to his leadership. It looks almost certain that dissident backbenchers will sign a letter urging the Cabinet to ask him to step down and some junior ministers have let it be known they will resign if necessary to force his hand.

The danger to Mr Brown increased hugely this week when David Miliband marked himself as a leader-in-waiting.

Mr Brown's move emerged after Mr Miliband cancelled a trip to India, interpretedby some as a sign of a leadership coup being plotted. In fact, he was anticipating the reshuffle and Chequers meeting. Mr Brown drew back from a head-on row, despite some MPs urging him to sack the Foreign Secretary.

The recall of ministers in effect brings forward the start of the political season by a week. Until today's disclosure, the first Cabinet meeting was not set until 9 September and Mr Brown's first big engagement in the diary was a speech to union leaders at the TUC, which starts on 8 September.

The spotlight then moves to party conference, beginning on 20 September, where allies hope Mr Brown can pull off a barnstorming speech to douse questions over his leadership. His new agenda is thought to include an " economic recovery plan" addressing voters' worries about the falling property market and rising food and fuel costs.