She was born in Canberra in Australia but moved to the United Kingdom to study at Newnham College, Cambridge, and stayed, joining the Labour Party in the 1970s. She was press secretary to Neil Kinnock and helped set up the Institute for Public Policy Research. She entered Parliament as member for Leicester West in 1997, and was appointed first Economic Secretary at the Treasury and then Minister for Small Business and E-Commerce.
Since 2001 she has been Secretary of State for Trade and Industry and Minister for Women.