Leveson-Gower returned to service after the fall of the North Ministry in March 1782 and was appointed first captain of under Lord Howe, and served in that capacity both in the Channel, and later on at the relief of Gibraltar and the skirmish off Cape Spartel. From January to April 1783 Gower was one of the junior lords of the admiralty on the Board of Admiralty with Lord Howe. He resigned after the formation of the Fox–North coalition in April, but rejoined when the Pitt Ministry was formed. From December 1783 to August 1789 he was First Naval Lord. He continued at the Admiralty with the Earl of Chatham until August 1789. During this time he hoisted a broad pennant in in 1785, for a summer cruise around Great Britain with Prince William Henry; and was commodore in in 1787, in command of the Channel Squadron. He was returned as the member for Appleby in 1784, sitting until 1790. He was elected to Newcastle under Lyme that year and spoke four times on Admiralty matters in Parliament.