Andy Burnham’s path to Number 10 faces an early test as Labour MPs push for a cap on political donations — a policy the likely next prime minister has privately backed but that Sir Keir Starmer has resisted.
Labour MP Alex Sobel is putting forward a plan to cap individual donations at £1m in an amendment to the Representation of the People Bill, which is back in Parliament this month. The cap would apply only to individuals, not collective organisations such as trade unions — traditionally Labour’s biggest donors. Sobel said under his amendment, the government could reduce the cap after a transitional period ending in 2029.
“Andy Burnham's likely premiership faces early tests over donations cap, cabinet gender balance, and tensions with outgoing PM Starmer.”
Burnham, who is widely expected to replace Starmer on 20 July, wrote in an email to WakeUpGB founder Shaun Bowler in May that “there should be a cap on political donations” and suggested a figure “somewhere in the region of £500k”. He said it “would guard against the perception of any one party being unduly influenced or swayed by one person or organisation”.
But Starmer has not supported such a cap, and the bill that could introduce it is due to finish its remaining stages in the Commons before Burnham takes over. The Starmer government could pull the bill and wait, or Burnham could try to bring in a cap once the bill reaches the Lords.
The debate comes as UK political parties reported accepting £20.7m in donations in the first three months of 2026, with Reform UK receiving the most — £9.2m — from two wealthy backers, Christopher Harborne and Ben Delo. Last year, Harborne donated £9m to Reform UK, the biggest single donation to a party by a living person. The Electoral Reform Society says the lack of a cap “means that a handful of very wealthy individuals can continue to assert undue influence over our politics”.
Beyond donations, Burnham must also navigate a leadership transition marked by tension. Sir Keir Starmer hosted Nato chief Mark Rutte for lunch on Monday as Burnham travelled to London having set out his vision. Little did Burnham know that Starmer’s long-awaited Defence Investment Plan, known as “the Dip”, contains “enough fiscal ordinance to blow up the Makerfield MP’s economic plans before he has even set foot in Downing Street”, according to the i newspaper. The report described a “charge of the spite brigade” as tensions grow between teams of the outgoing and likely incoming prime minister.
Meanwhile, the number of women in Burnham’s cabinet is a “central issue” for female Labour MPs, former deputy leader Harriet Harman has said.
Burnham will also have to fill the role of Labour general secretary after Hollie Ridley told staff she is stepping down to allow a replacement “to work alongside a new leader once they are elected”. Names being floated include Joe Fortune, currently general secretary of the Co-operative Party, and former Unison leader Christina McAnea. Fortune, who has been credited with turning around the Co-op Party financially, would be a natural fit given Burnham is set to become the first Labour and Co-op MP to serve as party leader and prime minister.