It really does look as if Brown is going to try and place Balls at the Treasury in the reshuffle. But if he does, it is hard to see how he survives. As one left wing Labour MP said to me on Monday, which seems like an age ago now, when I asked him about the prospect of Balls becoming Chancellor, ‘it’s not just the Blairites who hate him. We all do.’
PS There was a classic moment at the end of the interview when Mandelson attacked Cameron's mortgage arrangements. You really couldn't make it up.