When the Liberals came to power in December 1905 under Sir Henry Campbell-Bannerman, Elibank was appointed Comptroller of the Household, a post he retained when H. H. Asquith became Prime Minister in April 1908, and then served as Under-Secretary of State for India between 1909 and 1910. The latter year he was made Parliamentary Secretary to the Treasury (Chief Government Whip). In 1911 he was sworn of the Privy Council. However, he was forced to resign in August 1912 after being accused of insider trading in the Marconi scandal. Later the same month he was raised to the peerage as Baron Murray of Elibank, of Elibank in the County of Selkirk.