Britain’s new Prime Minister Andy Burnham is preparing to put cost-of-living relief at the heart of his first day in charge, with an announcement expected as he convenes his inaugural cabinet meeting after taking office.
Standing on the steps of No 10, Mr Burnham promised swift “breathing space” for households under pressure, saying he would spell out the first measures later today.
In his first address as prime minister, Mr Burnham pledged the biggest change to British politics in 40 years, and said he would deliver “a new political model and a new economic model” for Britain.
He moved quickly last night to reshape the cabinet, beginning with the appointment of John Healey as chancellor, replacing Rachel Reeves.
Ms Reeves was among a string of prominent departures from Keir Starmer’s era, alongside former deputy prime minister David Lammy, ex-attorney general Richard Hermer and former housing secretary Steve Reed.
Downing Street confirmed the new line-up across the evening, with the incoming ministers due to take their seats around the cabinet table with Mr Burnham.
John Healey has been appointed chancellor to succeed Rachel Reeves
Louise Haigh, a close ally of Mr Burnham credited with helping propel him into No 10, was appointed First Secretary of State and Chancellor of the Duchy of Lancaster, positioning her as a key government troubleshooter.
Ed Miliband was named Foreign Secretary, Shabana Mahmood stays on as Home Secretary, Wes Streeting was installed as Defence Secretary, and Angela Rayner returned to government as Housing Secretary.
Meanwhile, Chris Bryant has been appointed to serve as the new Secretary of State for Northern Ireland.
As the reshuffle took shape, it emerged that Mr Burnham had opted not to name a deputy prime minister, a role most recently held by Ms Rayner and Mr Lammy.
A No 10 source said the cabinet was designed to unite all wings of the Labour Party behind Mr Burnham’s programme for the country.
The source said ministers with the strongest track records for delivery and the deepest experience had been handed responsibility for the prime minister’s central domestic priorities.
They also highlighted what they described as a balanced cabinet, with 50% men and 50% women, and said Mr Burnham had increased the number of ethnic minority ministers at cabinet level.
Among the options Mr Burnham is considering to ease pressure on household budgets are rent controls, help with energy bills and a cap on bus fares.
“We’re looking at measures that could make a difference this year. So we are looking at all of those things, but we’ll make more announcements tomorrow,” he told reporters in Downing Street’s rose garden.
Mr Burnham’s first day also featured a burst of diplomatic outreach.
He began with calls to US President Donald Trump and Ukraine President Volodymyr Zelensky.
In a Truth Social post, Mr Trump said he and the new prime minister had a “very good conversation”, adding: “The Prime Minister has got a big job ahead of him, but he will be able to do it and, of course, the U.S.A. will be there to help! We discussed North Sea Oil, Trade, the Military Alliance, Demining of the Hormuz Strait, and many other topics. The call was interesting, and went very well.”
