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Whitehall consultants

Question Raised Over Whether Britain Can Afford Expanding State

October 15, 2026 Priya Shah – Business Editor Business

Public expenditure in the UK will rise from 38.1 per cent of GDP before the pandemic to 43.3 per cent by 2030, according to International Monetary Fund data revealed yesterday. This expansion puts the size of the British state on a growth trajectory where government spending will increase by 5.2 percentage points between 2019 and 2031, making it larger by a greater amount than any other G7 nation except for Germany, where the growth is driven by a massive defence investment push.

To fund public services, tax revenue as a share of GDP sat at 38.2 per cent in 2025, but that figure is projected to hit 41.9 per cent by 2031. This growth reflects what Cityam describes as blob-like dynamics within the public sector, carrying traits familiar to private sector workers such as the elevation of process over outcomes and an inertia driven by a lack of leadership or hostility to innovation. The term blob was popularized by Michael Gove to describe the web of teaching unions, local councils, and progressive experts who opposed his 2010 education reforms.

Andy Burnham Proposes Ten-Year Plan for Expanded State Control

The vision of an ever-expanding state faces a further push from Andy Burnham, who teased a ten-year plan in a party conference speech ahead of a full reveal before the end of the year. Burnham’s vision paints a picture of Britain by 2040 featuring a state that has extended its control into numerous areas of daily life, with water, housing, transport, energy, and care all overseen by beefed-up local government.

Andy burnham gives a speech at the labour party conference in liverpool

The Question of Affordability

With government spending and tax revenues climbing significantly, a fundamental question remains about whether the country can sustain this trajectory. It is argued that the nation cannot afford the current size of the state, let alone one expanded to deliver the extensive control and services outlined in future plans.

More on this story: UK Military Spending Risks Greater Waste Without Shift to Domestic Defence, Report Warns · John Healey faces fiscal pressures ahead of the October 28 budget

More on Britain: Britain Scraps Controversial Plans to Curb Jury Trials

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andy burnham, Business, Economics, local government, News, opinion, politics, Public Sector, tax, uk economy, UK Government

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