Nawab Habibullah had supported the 1932 communal award proposal of the British Raj. In 1935 he was the president of the Bengal Muslim League and member of the executive of the All India Muslim league.[1] From 1937 to 1941 he was a minister in the cabinet of A K Fazlul Haq.[2] He joined the second cabinet of Haq against the wishes of the Muslim League for which he was suspended from the league till 1946. In 1946 he stood in the assembly election of Bengal as an independent candidate but suffered a heavy defeat at the hands of his relative, Khwaja Khairuddin who was on a Muslim League ticket.[2]