Key facts
- Andy Burnham has appointed Andy Haldane, Richard Hughes, and Jim O’Neill as economic advisers.
- The move aims to enhance Burnham's economic credibility for a potential Labour leadership bid.
- Burnham is set to contest the Makerfield byelection, with a potential return to parliament.
- If elected, Burnham is expected to challenge Keir Starmer for the Labour leadership.
- Starmer's allies have warned of economic destabilization from a leadership contest.
Andy Burnham, the Mayor of Greater Manchester, has reportedly enlisted the advice of prominent economists, including former Bank of England chief Andy Haldane and ex-OBR chair Richard Hughes, to bolster his economic credentials ahead of a potential challenge to Labour leader Keir Starmer. Jim O’Neill, a former Treasury minister, has also been consulted.
The move is seen as an attempt by Burnham to signal fiscal credibility to financial markets, particularly after past remarks about reducing reliance on bond traders. Burnham has pledged to retain Chancellor Rachel Reeves’ fiscal rules and has hinted at reforming property taxes.
Burnham is set to contest the Makerfield byelection, with his return to parliament anticipated as early as Friday. Should he win the seat, he is expected to challenge Starmer for the Labour leadership. Allies of Starmer have cautioned that a leadership battle could destabilize the country and its economy, while polls suggest Burnham would gain support from Labour members. Wes Streeting has also indicated he would enter a leadership race.