Key facts
- Prime Minister Andy Burnham made numerous policy commitments in his first parliamentary statement.
- He suggested potential reforms to the voting system, political donations, and the water industry.
- Decisions on increasing defense spending to 3% of GDP were deferred to a 2027 spending review.
- Burnham indicated a desire for closer relations with the EU but ruled out rejoining the single market or customs union.
- The Prime Minister hinted at approving North Sea oil and gas projects.
- Former Prime Minister Keir Starmer announced his intention to resign from Parliament.
Britain's new Prime Minister Andy Burnham used his first statement to Parliament to outline a broad agenda, but the inherent difficulties and trade-offs of governing were immediately apparent. During a lengthy 204-minute session, Burnham addressed 125 questions, making, hardening, or reiterating a wide range of commitments that could significantly alter the British state.
Among the proposed changes, Burnham suggested a potential reform of the voting system, possibly by 2034, contingent on a consensus among parties like Labour and the Liberal Democrats winning the next general election, due by 2029. He also hinted at capping or entirely blocking foreign donations to political parties, though he has opted not to implement immediate short-term changes. A 10-year plan to reform England's privatized water sector was also announced, alongside the continuation of a social media ban for individuals under 16 and a commitment to overhaul the social care system.
Burnham's statement also touched on defense spending, with a hint that it could rise to 3 percent of GDP by 2030, a goal supported by his finance minister John Healey. However, any decision on this has been deferred to a 2027 spending review, and Burnham did not rule out tax increases in the upcoming fall budget, given the UK's high borrowing costs. This highlights a tension between the desire for substantial change and the realities of fiscal constraints.
Further complexities emerged regarding foreign policy and energy. While Burnham aims for a more domestic focus than his predecessor, he plans to attend the COP31 climate summit and will issue a statement on Israel's E1 settlement project, which could strain relations with Israel and potentially Donald Trump. Despite acknowledging the climate crisis, Burnham hinted at approving North Sea oil and gas projects like Rosebank and Jackdaw.
The Prime Minister also addressed Brexit, stating it has caused a decade of low growth and promising closer ties with the EU, while adhering to Labour's pledge not to rejoin the single market or customs union. Reforms to social care and the water industry are underway, though timelines for reviews have been accelerated rather than drastically changed. The issue of council tax reform, based on 1991 valuations, was acknowledged as needing consensus due to past public backlash.
Conservative leader Kemi Badenoch criticized Burnham's government for "swerving all over the place" and being "obsessed" with Thatcher's legacy. Meanwhile, some Labour MPs expressed approval of Burnham's detailed statement, though others were less engaged. The political landscape is shifting as former Prime Minister Keir Starmer announced he will step down from the Commons, placing increased focus on Burnham's ability to deliver on his numerous promises.