Andy Burnham’s long-awaited economics speech, expected on Monday, will determine whether former defence minister Al Carns launches a leadership challenge – while the communities secretary has revealed that Burnham’s devolution plans are designed to ease London’s housing crisis by discouraging northerners from moving south.
Carns, the Labour MP for Birmingham Selly Oak, told BBC Politics Midlands he was waiting to hear “really clear and concise outcomes” for where Burnham sees the country over the next decade. “We need to see a vision, we need to see the plan because unfortunately a vision without a plan is a dream,” he said, adding that he wanted to know where the country should be by 2029 and 2034-35.
“Al Carns will decide on leadership bid after Andy Burnham's economics speech, as devolution plan aims to ease London housing crisis.”
Carns resigned as Armed Forces Minister this month over defence budget concerns, and said the topic of defence would be a “key factor” in his decision. He would not target welfare spending to raise money for defence, arguing against a “pound off a nurse to give it to a soldier”. In contrast, Conservative MP Neil Shastri-Hurst told the same programme his party would look at the welfare system.
To enter the contest, Carns would need nominations from 81 Labour MPs and endorsements from affiliates. Already, Wes Streeting and Darren Jones have ruled out running, as momentum builds behind Burnham, the former Greater Manchester Mayor.
Meanwhile, Communities Secretary Steve Reed defended the expected devolution reforms, saying that channelling billions more into regional infrastructure would benefit London by reducing migration from the regions. “It doesn't help London if London is the only place where people see opportunities for jobs and economic growth, because people from all over the country come to London,” Reed told Sky News. “It pushes up our housing costs and pushes up housing demand.” London Mayor Sadiq Khan has warned Burnham not to cut investment in the capital.
Burnham also faces a decision on who to appoint as chancellor. Labour’s deputy leader Harriet Harman has said Ed Miliband should take the role, according to Sky News. However, there are concerns within Labour that Miliband is too hardline on net zero measures and may struggle to retain market confidence. Rachel Reeves is widely expected to leave the post.
Writing in the New Statesman, a friend and former colleague described Burnham as driven by unfairness. “He sees unfairness and wants to do something about it,” the piece said, recounting how Burnham listened to Hillsborough families during a 20th anniversary service at Anfield. That experience, the author wrote, shaped his later efforts to secure a Hillsborough Law.
Burnham is expected to become prime minister in mid-July after Sir Keir Starmer’s resignation. The government will reveal its Defence Investment Plan ahead of a Nato summit on 7 July.