Shadow Cabinet
Despite the resignation, Willetts was able to return to the shadow front bench a few years later while William Hague was Leader of the Opposition, initially serving in the Shadow Cabinet as Shadow Education Secretary before becoming Shadow Social Security (later Shadow Work and Pensions) Secretary. He carved out a reputation as an expert on pensions and benefits. Since leaving the DWP post, he has been recruited as an external consultant by the actuaries Punter Southall.
After the 2005 election, he served as Shadow Secretary of State for Trade and Industry in the Shadow Cabinet under Michael Howard. In August 2005, after ruling out running for leader owing to a lack of support, commentators speculated that he was gunning for the post Shadow Chancellor of the Exchequer position and would cut a deal with either David Davis or David Cameron. On 15 September he confirmed his support for Davis, at that time the bookies' favourite. Willetts, a centrist moderniser, went to ground following the announcement of the Davis tax plan since it was widely speculated that he disagreed with the seemingly uncosted and widely derided tax plan and found it impossible to defend. Davis then lost the candidacy race to Cameron. Following Cameron's win, Willetts was appointed Shadow Secretary of State for Education and Skills in Cameron's first Shadow Cabinet in December 2005, the role Cameron had vacated, and later becoming Shadow Secretary of State for Innovation, Universities and Skills. His title became Shadow Minister for Universities and Skills since Gordon Brown's merger of the Department for Innovation, Universities and Skills with the Department for Business, Enterprise and Regulatory Reform into the Department for Business, Innovation and Skills in June 2009.
On 19 May 2007, Willetts made a controversial speech on grammar schools in which he defended the existing Conservative Party policy of not reintroducing grammar schools. The speech received a mixed reception. The analysis was applauded by The Guardian and The Times. However, the more right-wing Daily Telegraph and the Daily Mail were both strongly critical of the speech, which was unpopular with some Conservative Party activists. The speech was made more controversial when David Cameron weighed into the argument, backing Willetts' speech and describing his critics as "delusional", accusing them of "splashing around in the shallow end of the educational debate" and of "clinging on to outdated mantras that bear no relation to the reality of life".
The Department for Education and Skills was abolished by the new Prime Minister, Gordon Brown, who established two new departments. On 2 July 2007, Cameron reshuffled Willetts down to the junior of the two departments: the Department for Innovation, Universities and Skills.
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