Labor Divisions Emerge as Starmer and Ministers Respond to Andy BurnhamS Economic Proposals
Recent comments from Andy Burnham, the mayor of Greater Manchester, have sparked a public rift within the Labour Party, drawing criticism from Keir Starmer and several labour ministers. The dispute centers on Burnham’s suggestions for economic policy, which have been framed by some as a challenge to the party’s current fiscal approach.
Burnham’s remarks prompted a response from Prime Minister Rishi Sunak,who cautioned against abandoning fiscal rules,referencing the economic turmoil following Liz Truss’s policies three years prior. Sunak stated, “it was three years ago this week that Liz Truss showed what happens if you abandon fiscal rules… the same would happen if it was spending.” He further asserted he would not allow a Labour government to “inflict that harm on working people” and argued that increased borrowing is not a progressive policy.
Starmer, while avoiding direct comment on Burnham’s “personal ambition,” indicated he would take a firm stance against any challenge to the established fiscal rules. He emphasized the importance of economic credibility, stating, “So let’s just pause and consider whether it’s really a responsible approach for a party of government to be talking in that kind of language, because working people have suffered once because of a reckless approach on the economy. And it’s through having credibility and a clear plan on the economy that we are able to invest more in public services.”
Burnham, who would require a seat in Westminster to contend for the Labour leadership, has been privately encouraged by some Labour MPs who see him as a potential alternative in economic strategy and a stronger opponent to nigel Farage’s Reform UK. He has stated any leadership bid would need to be “more than a personality contest” and pledged to openly address issues significant to Greater Manchester, refusing to “speak in code,” “toe the line,” or “be quiet.”
In interviews, Burnham accused downing Street of fostering a “climate of fear” and contributing to ”alienation and demoralisation” among MPs, though he maintained he wasn’t actively “plotting to get back” into Westminster.
The response from within Labour has been largely critical. Housing Secretary Steve Reed suggested starmer had become accustomed to criticism during his time rebuilding the party, having “picked this party up off the floor and led us to a record-breaking election victory.”
Several Labour MPs and ministers expressed annoyance at the speculation surrounding Burnham’s leadership aspirations. One MP from the 2024 intake described Burnham’s position as lacking clear purpose, stating, “Andy’s problem is everybody knows what he’s about and nobody knows what he’s for.” Another senior Labour source advised Burnham that he was appearing “a bit desperate.” A senior Labour aide warned against jeopardizing the bond markets with expansive policy proposals, arguing Burnham’s actions were not advancing his leadership prospects and were creating instability ahead of a challenging budget.
