Andy Burnham is on course to become prime minister on 20 July, and two of the policies he has signalled could reshape British politics and housing: a cap on political donations and rent controls. Both proposals have been debated for years, but Burnham’s ascent gives them a real chance of becoming law.
The basics are straightforward. A cap on political donations would limit how much money any individual or organisation can give to a political party. Currently, there is no limit on UK-based donors; the only restrictions apply to foreign donations. Burnham has told a grassroots campaigner that he favours a cap “in the region of £500,000”. Labour MP Alex Sobel has tabled a specific amendment to the Representation of the People Bill that would set a £1m cap per individual donor, with collective organisations such as trade unions excluded. The bill is back in Parliament this month and Burnham, if he takes over as PM, could steer it through the House of Lords.
“Explain Andy Burnham's proposed £1m donation cap and rent controls, and what they mean for UK politics.”
Rent controls are another long-standing ambition. As mayor of Greater Manchester, Burnham co-signed a 2023 letter to the then housing secretary Michael Gove calling for a freeze on private-sector rents. In a speech last week, he said the government is “forced to chase rents in the private-rented sector through the benefits system” and argued for “public intervention where necessary”. He has not pledged a specific cap, but campaigners such as the Renters’ Reform Coalition say rising rents are “drain[ing] spending out of our high streets”. Burnham’s preference may be to devolve the power to cap rents to local mayors rather than impose a national limit from No 10.
Why do these issues exist? The donations system has long been criticised for allowing a handful of wealthy individuals to exert disproportionate influence. In the first three months of 2026, UK parties reported £20.7m in donations, with Reform UK receiving £9.2m, much of it from two billionaires. Last year, one of them, Christopher Harborne, gave £9m to Reform – the largest single donation 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”. Rent controls, meanwhile, are seen as a direct response to a cost-of-living crisis that has pushed rents to record highs, forcing many households to spend a growing share of income on housing.
For UK readers, both policies hit close to home. A donations cap would address a widespread perception that politics is “bought” by the super-rich. A cap of £500,000 or £1m would still allow substantial sums but aim to prevent any single donor from dominating a party’s finances. Critics, including some landlords’ groups, warn that rent controls can discourage investment and reduce housing supply. But Burnham’s backers argue that rising rents are already squeezing tenants and that a carefully designed cap – perhaps at the local level – could bring stability.
Here are three questions readers often ask about these proposals:
Q: How would a political donation cap work? A: It would limit the amount any one person or organisation can give to a party per year. Sobel’s amendment sets a £1m cap per individual, with a transitional period until 2029. Burnham has suggested a lower figure of around £500,000. The cap would not apply to trade unions, which are Labour’s traditional big donors.
Q: Would rent controls actually bring down rents? A: Campaigners say they can prevent sudden spikes and give tenants security, but economists disagree on long-term effects. Burnham has not proposed a specific cap, only “public intervention where necessary”. He may prefer to let local mayors set caps, meaning the impact would vary by area.
Q: When could these changes happen? A: The donation cap is tied to the Representation of the People Bill, which is due to finish its Commons stages before Burnham takes over. If the bill stalls, a Burnham government could reintroduce it. Rent controls would require new legislation; Burnham could begin by devolving powers to mayors, which would take months.
What happens next depends heavily on July 20, when Burnham is expected to replace Sir Keir Starmer. He could choose to let the existing bill pass with Sobel’s amendment, or wait and bring his own version. On rent, his first moves may be to give mayors in Manchester and London the tools to act. Either way, both policies are now firmly on the table – and the next few weeks will show whether they become law.