Labour lawmaker Andy Burnham outlined a state-led economic vision expanding public control over services such as water and boosting regional growth outside London, in his first speech in Manchester on Monday since returning to Westminster earlier in June.
He said his plans are consistent with the party's 2024 manifesto reiterating his commitment to a series of fiscal rules. These include balancing day-to-day spending with tax revenues and reducing debt as a share of output - closely watched by financial markets.
He said the welfare system should be reformed in a way that supports long-term independence.
“We will reduce the welfare bill in a way that is fair and lasting and helps people move forward,” he said, stressing that reforms should not penalise those in need.
He also said one route to reducing welfare spending would be repairing the public housing stock, linking social policy with infrastructure improvement.
He said his plan for change "whilst not taking risks with the public finances, will seek to give Britain some breathing space."
Andy Burnham repeated his argument for stronger oversight of essential services, including water, saying greater public control is needed to improve accountability and outcomes.
He also said the state should “intervene more directly in the economy where needed,” adding that it should not “leave everything to the market.”
His wider economic approach includes supporting regional growth through “good growth funds” aimed at expanding opportunity beyond London and reducing regional inequality.
He described the agenda as a “new era of possibility for Britain,” while maintaining alignment with Labour’s 2024 manifesto commitments.
He also emphasised a “laser-like focus on growth and regeneration” aimed at “powering up all parts of the country.”
Andy Burnham is currently the only declared candidate to potentially replace Keir Starmer as UK prime minister, with speculation that a transition could take place within weeks.
He added that senior appointments, including the finance minister role, would not be announced until the leadership process is complete.
He also said governance would be driven through the prime minister’s office, operating in what he described as an “extended operation based here in Manchester.”
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