Burnham Vows Unity After Lightning Ascent to UK Premiership

Article content

Close Burnham allies Louise Haigh, Anneliese Midgley and Deputy Labour leader Lucy Powell are all likely to be given significant roles. The fates of Chancellor of the Exchequer Rachel Reeves, Deputy Prime Minister David Lammy, Foreign Secretary Yvette Cooper, former Health Secretary Wes Streeting and former Deputy Prime Minister Angela Rayner will all be closely watched as Burnham seeks to avoid having powerful rivals on Labour’s back benches. Starmer, who remains an MP, is not expected to want or be given a cabinet role.

Article content

On Sunday, Powell — who could be deputy prime minister by the end of Monday — sought to defend the opacity around Burnham’s cabinet plans, saying: “You don’t start appointing a government and a cabinet until you’re actually prime minister.” She declined to speculate on her own prospects, saying, “I will wait to see all of that tomorrow.”

Article content

Policy-wise, Burnham has said he will stick to the manifesto with which Labour fought the 2024 general election — a move that hinders his ability to raise the the Treasury’s three main revenue earners — income tax, national insurance and value added tax. It also commits him to the triple lock guaranteeing annual rises in the state pension until after the next election. Burnham has also said he’ll stick to Reeves’ budgetary rules.

Article content

Article content

In his only major policy speech of a leadership campaign that never gathered speed due to a lack of rivals, Burnham majored on plans to ramp up devolution, including establishing an outpost of No. 10 in Manchester, overseeing the biggest house-building program since the postwar period and giving more control over taxation as well as services such as water, energy and transport to the regions.

Article content

Over the weekend, Burnham’s team outlined plans to scrap proposals for a national digital ID, vowing instead to plow the cash that would have been spent on the program — £1.8 billion ($2.4 billion) over three years according to the Office for Budget Responsibility — into priorities such as measures to alleviate the cost of living for ordinary Britons.

Article content

In his early days in power, Burnham is also preparing to announce new drilling for oil and gas in the North Sea as well as taking public control of Thames Water, Bloomberg reported last week. 

Article content

The North Sea move may ease relations with Trump, who’s no ideological bedfellow, but has regularly criticized Starmer and Miliband for curtailing development in the North Sea. Responding to the news, Trump on Sunday posted that people in Aberdeen, the UK’s oil capital, “are dancing in the streets.”

Article content

Article content

Powell told the BBC on Sunday that while Burnham stands by manifesto promises that include a pledge for no new exploration licenses in the North Sea, he would bring about a “change of emphasis.” That may leave wiggle room for two stalled projects that had licenses, Rosebank and Jackdaw. 

Article content

“What Andy is talking about is taking a more pragmatic approach and working with the industry to make sure that it can contribute,” she said.

Article content

On Thames Water, Powell told Sky that privatization of the water industry “hasn’t worked,” and added that “the government has powers to bring a distressed water company under special measures.”

Article content

On Friday, when he became Labour leader, Burnham promised his government would start to “confidently” lay out a path for the future starting Monday. “I am ready,” he said. “I have a plan.”

Article content