Labour MP Andy Burnham's bid for the party leadership has just become more ambitious – or is it too early to tell? The signs are that he is positioning himself as the front-runner in a potential contest by courting the financial markets with high-profile economic advisers. Among them are Richard Hughes, former chair of the Office for Budget Responsibility (OBR), and Andy Haldane, who previously served as the Bank of England's chief economist. This strategic move aims to bolster Burnham's economic credentials and win over a broader audience.
The team advising Burnham also includes Jim O'Neill, a former Treasury minister under David Cameron, known for his involvement in the 'Northern Powerhouse' initiative around a decade ago. The Financial Times and Bloomberg have reported that Burnham is actively building credibility with financial circles after previous comments in which he criticised the government for being 'in hock' to bond markets.
As part of his leadership bid, Burnham has committed to maintaining existing fiscal rules set by Shadow Chancellor Rachel Reeves, including the goal of achieving a balanced or surplus current budget within three years. He has also signalled an interest in reforming property taxes and expressed concerns about the increase in employers' National Insurance contributions, which he suggests contributed to rising unemployment figures.
With his recent victory in the Makerfield by-election, Burnham's return to Parliament will trigger a new contest for the Manchester mayoralty – a position he resigned from upon becoming an MP. The impending election adds another layer of intrigue to the current landscape as Westminster watches for the formal launch of Burnham's leadership campaign.
Other Labour figures are also gearing up for the potential leadership contest, with former Health Secretary Wes Streeting expressing his intention to enter the fray. He has secured support from 81 MPs and taken aim at Burnham's perceived lack of concrete policy pledges, warning against a 'Dutch auction' of expensive promises aimed solely at party activists rather than the wider British public.