David Cameron and wife Samantha will formerly take residence of Number 10 Downing Street today.

The UK was brought to a standstill yesterday (11 May) as Gordon Brown tendered his resignation to the Queen and David Cameron was appointed as the UK’s new Prime Minister, leading a coalition government of the Conservatives and Liberal Democrats.

Gordon Brown made an emotional speech before leaving number 10 for the last time telling the waiting journalists that it had been a “privilege to serve”. Joined by his two young sons, Fraser and John, the former PM then went with wife Sarah to meet with the Queen to formerly hand in his resignation.

In his first statement as PM, David Cameron took an opportunity to pay tribute to his predecessor before launching into his cross-party plans for the future. “Nick Clegg and I are both political leaders who want to put aside party differences and work hard for the common good and for the national interest. I believe that is the best way to get the strong Government that we need, decisive Government that we need today.”

Cameron added: “This is going to be hard and difficult work. A coalition will throw up all sorts of challenges, but I believe together we can provide that strong and stable Government that our country needs based on those values, rebuilding family, rebuilding community, above all rebuilding responsibility in our country.”

A statement on the Number 10 website today has announced the appointment of Nick Clegg, Liberal Democrat leader, as Deputy Prime Minister which has accordingly been approved by the Queen. A further five Liberal Democrat MPs will take Cabinet posts.

Liberal Democrats Vince Cable and Chris Huhne are expected to take senior positions in the new PM’s Cabinet in Treasury and Energy and Climate Change roles respectively. Vince Cable, former Deputy Leader of the Liberal Democrats is highly regarded and has gained much support since standing in as temporary leader, prior to Clegg, after the resignation of Sir Menzies Campbell.

Cameron’s other key cabinet appointments are expected to include William Hague as Foreign Minister, Liam Fox as Defence Secretary and Andrew Lansley as Health Secretary.

French Prime Minister, Nicholas Sarkozy, has sent his congratulations to the new Prime Minister and said he is looking forward to “strengthening the very close cooperational and exceptional ties woven between our two countries.”

The new Parliament will be summoned to meet on 18 May and the State Opening of Parliament and the Queen’s Speech will follow on 25 May.

Financial analysts will now turn their attention to the world’s stock markets to see how they will react to these latest developments.