Malthouse, MP for North West Hampshire and former Chancellor of the Duchy of Lancaster, replaces James Cleverly who has been appointed Foreign Secretary.
He was a deputy mayor of London from 2008 under Boris Johnson before becoming MP for North West Hampshire in 2015.
Malthouse described his appointment on Twitter as "a daunting prospect and a singular honour".
According to the Department for Education’s website, junior ministers largely remain the same with the addition of former Education Secretary Nadhim Zahawi as equalities minister with the role split between DfE and the Government Equalities Office and the removal of former children’s minister Will Quince as minister for school standards.
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