Andy Burnham will return to parliament on Monday as the MP for Makerfield, elected by a landslide with a majority of more than 9,000 votes after a nine-year absence. But even before he takes his seat, his supporters are locked in a briefing war over who should be his chancellor – a choice that could define his premiership if he reaches Downing Street.
The battle pits advocates of the former health secretary Wes Streeting against those close to the energy secretary Ed Miliband. Some advisers are urging Burnham to pick Streeting to reassure the business community and fossil fuel industry. Others insist he must choose Miliband, arguing that only the energy secretary has the vision and drive to implement radical policies such as bringing utilities into public control.
“Briefing war erupts among Burnham's allies over whether Wes Streeting or Ed Miliband should be his chancellor.”
“Who becomes chancellor is absolutely key – not so much because the personalities themselves matter, but because it will give us the clearest sign of what kind of prime minister he is,” said one person who has advised Burnham in recent weeks.
Burnham has not yet decided. He is conscious of the need to reassure investors after previous comments about the UK being “in hock” to bond markets. As part of that effort, his team have spoken to Jim O’Neill, the former Goldman Sachs chief economist and Conservative minister, about becoming his chief economic adviser – though no final decision has been taken.
The chancellor choice is the most contentious, with Miliband and Streeting emerging as frontrunners, though others including Yvette Cooper, Miatta Fahnbulleh, Darren Jones and John Healey are also possible. Many allies want Miliband. “There is only one candidate who a) has got really serious Treasury experience; b) is a longstanding friend and ally of Burnham; c) shares his core arguments and agenda; d) has shown at the energy department he knows how to get things done and through the system. And that’s Ed,” said one. Another added: “Regardless of politics, he is the outstanding figure for the role.”
Burnham will set out more policy ideas in coming weeks. His fiscal stance has shifted: in an interview on 18 May he said, “I support the fiscal rules. There needs to be a plan to get debt down.” But earlier, at the Institute for Fiscal Studies on 20 January, he described Britain as being in a “low growth doom loop” and “in hock to the bond markets”. He has committed to keeping the triple lock on the state pension and has backed Shabana Mahmood’s immigration reforms, though he sounded critical in November, saying he had a “concern about leaving people without the ability to settle”. By June he said, “We do need to go further” and called for “greater use of detention”.
The unresolved question – who will sit at No 11 – will signal whether Burnham intends to govern as a radical or a reassurance candidate. For now, his allies are fighting it out behind the scenes.