As Andy Burnham prepares to assume office, he faces a daunting list of immediate challenges left by his predecessor, Keir Starmer. Much like the "shit list" of fires compiled by Starmer’s former chief of staff, Sue Gray, in 2024, Burnham’s team is now tasked with managing a series of urgent national and international issues.
Addressing the cost of living remains a central priority. Burnham has committed to putting more money back into people’s pockets, with policy adviser Miatta Fahnbulleh confirming an immediate focus on easing economic burdens. Potential strategies under consideration include a year-long rent freeze for the private sector, reduced caps on bus fares, and the removal of green levies from energy bills, which would instead be funded through taxation. However, the prime minister has signaled that he is unlikely to pursue wealth taxes in the immediate term to fund these initiatives, creating a difficult balancing act.
Fiscal constraints are further tightened by a £4.7bn deficit in defense investment plans left by Starmer. While Downing Street and Treasury officials suggest addressing this through increased borrowing, Burnham must also navigate the impact of inflation caused by the Iran war and potential costs associated with the de-privatisation of the utilities sector. Notably, creditors of a struggling water company are seeking a £10bn rescue package, leaving Burnham to decide whether to intervene and request a high court-ordered special administration as a step toward public control.
The new administration also faces legislative hurdles. The decision to postpone the elections bill to prioritize the Hillsborough law has shifted various policy disputes onto Burnham’s desk. Labour MPs are pushing for amendments that include a cap on donations, a ban on cryptocurrency political contributions, and the establishment of an electoral reform commission. Additionally, Burnham must finalize trade agreements with EU officials who delayed summits to consult with him directly, as well as determine the future of the transatlantic relationship with US President Donald Trump. Following public criticism of the Iran war, Burnham must now choose whether to attempt to heal the rift or heed the advice of his own MPs to distance the government from the current US administration.
Shortly before recess the government postponed the next stage of the elections bill to make space to pass the Hillsborough law instead.
