‘Biggest change in our lifetime’ – Burnham vows ‘greater public control’ over utilities
Andy Burnham has vowed to empower local government to take “greater public control” over energy, housing, water and transport as councils are set to be handed greater powers as part of sweeping economic and political reform.
In a speech on Monday setting out his 10-year vision to raise living standards, the likely next Prime Minister said he would oversee the “biggest change in our lifetimes to the way the country is run”. He insisted policies would be in line with manifesto commitments, in what appeared to be a bid to shut down speculation over a possible General Election being called.
Despite pledging a total overhaul of national and local government, Burnham said he would keep to the current fiscal rules and run the country based on “sound public finances”, with his economic reforms to focus on devolution and regulation of utilities.
“Westminster and Whitehall are set up for conflict, but they require radical change if the country is to get back on track,” Burnham said.
“While the national government has grown a lot bigger, particularly since the pandemic, local government is threadbare and without the resources to fulfill even statutory responsibilities.
“The whole country suffers when the regions and nations are not meeting their potential, and Londoners are left with an overheated economy and an overcrowded housing market.”
He added: “The days of Whitehall fighting the devolution power into the regions and nations are over.”
Burnham hints at tax cuts…or subsidies
He pledged that he would offer mayors and local leaders the ability to take full control over areas such as education and housing, as well as taking “public intervention where necessary”.
The former Greater Manchester mayor said he wanted “good growth in every postcode” as he talked up plans to back innovation at universities, large infrastructure projects and subjecting public procurement to “proper social value weighting”, such as ensuring jobs are created in the UK.
He also vowed to reform business rates to back pubs and high street shops, which would be the “new symbol of Britain’s renaissance”.
He said he would seek to give households “some breathing space” with rising costs while taking care of the public finances, which could be taken as a hint at potential tax cuts or further subsidies.
“People need to be able to look forward to a night out or a holiday with the kids. People need hope.”
Burnham declined to take questions from reporters after his speech. Most journalists were also seated at a distance from the stage. He also took aim at journalists for “wild speculation” around the new Chancellor pick despite several warnings from City traders and union bosses urging clarity on his plans for government.
Badenoch challenges new Prime Minister
Shortly before Burnham delivered his speech, Tory leader Kemi Badenoch challenged the incoming Prime Minister to face scrutiny from MPs and the media.
The opposition leader called on Burnham to sit down with her as she suggested Burnham was “very genial”. Burnham suggested he would be prepared to talk to opponents at other political parties as part of his “collaborative” governnance.
Badenoch also said the Tories were prepared to lend votes to the government to pass legislation on cutting the welfare bill.
Her speech criticised his focus on devolution and the prospect of Ed Miliband becoming Chancellor, whom she compared to a “socialist” Nigerian military dictator. She added she would not apologise for “hurty words”.
“They will mean more power taken away from Parliament, but more and more government created all over the country – more politicians, more outsourcing of decisions to bodies with even less scrutiny and accountability,” she said.
“He doesn’t have a plan beyond telling mayors to go and sort it out. This is not good enough.”
She also said the country was facing a “summer of chaos” as the UK economy would stagnate due to “limbo” over speculation around capital gains taxes and net zero commitments.
“If Andy Burnham is not ready to be Prime Minister, he should not have rushed to take the job. The country should not wait.”