"True to the motto of this city, I am going to do things differently," Andy Burnham declared in Manchester, referencing the film 24 Hour Party People. The departing Greater Manchester mayor's speech painted a picture of a different way of seeing and running the UK, rooted in his own experiences running the city and his time in Cabinet. At its heart is a critique of an unresponsive British state, adept at arguing with itself rather than achieving real change. His solutions were ambitious but mostly general: taking power from the centre and giving it to regions and cities, as happens in other advanced countries.
Burnham told a story of his time as chief secretary to the Treasury two decades ago, when he wanted to build a northern equivalent to London's Crossrail but was told it would not pass the Treasury cost benefit equation. His speech was not a detailed economic plan with assessments of tax, spend, investment, infrastructure, trade, AI or Europe. Partly because this is still officially a Labour leadership campaign, he appears to be keeping powder dry on precise trade-offs. There was general policy direction on business rates, housebuilding, technical education, and infrastructure, delivered in an upbeat, optimistic tone.
“Andy Burnham's 'Manchesterism' speech offered a new vision but lacked a detailed economic plan.”
On two specific areas Burnham signalled prudence on spending and borrowing. He confirmed he will stick to existing borrowing rules and backed the Milburn Review into young people's employment outcomes, which could lead to welfare savings. These are two parts of a broad five-part plan, alongside devolution, industrial policy, and quicker help on the cost of living. But some changes will require extra spending. Devolution of decision-making may divert capital spending from the south east to northern powerhouse rail. In Europe, this agenda normally means extra borrowing powers for regions to invest in their infrastructure — something that may be hard to square with keeping to existing borrowing rules.
Many other questions about the detail remain unanswered, and may or may not be resolved in the next three weeks.