Brown promises new education policies within days

The policy, expected to be revealed next week, is likely to be the 21st Century Schools white paper.

The Prime Minister vowed he would continue to be "driven by the principle that a fair society is one in which everyone, not just the privileged, has a fair chance to succeed".

He said he believed in "never walking away from people in difficult times", and did not come into politics for the limelight but to serve society.

He said he was "proud" of Labour's record on schools, hospitals and fighting crime, and announced a new domestic policy council, which will publish a prospectus on the country's future later this month.

The press conference came at the end of a day of frantic reshuffling of his cabinet.

Alan Johnson became Home Secretary and John Denham was named Communities Secretary, while Ed Balls stays as Children's Secretary.

The Department for Innovation, Universities and Skills, which was set up just two years ago costing more than £7m, has been merged with The Department for Business, Enterprise and Regulatory Reform (BERR) as part of the reshuffle. The new Department for Business, Innovation and Skills will be responsible for business, enterprise, skills and further education.

This means Lord Mandelson will now be Secretary of State for Business, Innovation and Skills.

Martin Doel, Association of Colleges chief executive, said: "In the middle of a recession and with less than a year to run to an election it's unhelpful to introduce this degree of change in terms of ministerial responsibility.

"When changes like this are made departments are sometimes forced to concentrate on their reorganisation at the expense of a focus on delivery."