Senior cabinet member rejects idea that Burnham wants London to subsidise rest of nation
On Sunday, housing secretary Steve Reed, who is backing Andy Burnham to be the next prime minister, rejected suggestions he had indicated he wanted London to subsidise the rest of the nation.
“First of all, that’s not what he’s saying,” he told Sky News.
“What Andy is saying is that this is one of the biggest economies on the planet, and yet we have some of the poorest regions in Europe in this country, and that is because of the grotesque regional economic inequality we have in this country.”
He added it “benefits the south east of England if the rest of the country does well”, claiming Mr Burnham’s plan would help ease London’s housing crisis.
“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,” he said.
Dan Haygarth28 June 2026 22:13
Devolution to be at the heart of the speech, following Burnham’s ‘Makerfield’ test
Following his victory in the Makerfield by-election earlier this month, Mr Burnham said: “A Makerfield test at the heart of British politics will make sure that the places Westminster has neglected will now get fairness.”
A desire to improve the North of England’s economic fortunes and address regional inequality through devolution is central to Mr Burnham’s politics.
His 2024 book Head North, written with Liverpool City Region mayor Steve Rotheram, advocated for power to be less central and moved away from Whitehall to local authorities and the combined authorities, such as that in Greater Manchester he used to lead.
The book called for a “more balanced approach, where councils and mayors were dealt some cards too”.
The former mayor is said to be planning to boost economic growth by granting regional leaders enhanced authority over social housing, welfare, and post-16 education.
Dan Haygarth28 June 2026 22:12
What we can expect from the speech
Andy Burnham’s team have said that his speech at the People’s History Museum in Manchester will cover the following:
- There must be a change in how Britain is governed, not just changing who governs it.
- The central proposal is the biggest transfer of power out of Whitehall in modern times, with decision-making pushed to regions and local communities.
- It sets out a vision of “good growth in every postcode”, replacing a centralised, top-down model with locally driven economic growth.
- A flagship proposal is the creation of a ‘No10 North’ to drive devolution and coordinate long-term economic renewal across every nation and region of the UK.
- The speech commits to a 10-year mission to raise living standards through reindustrialisation, housing, infrastructure and reform of essential utilities.
- It argues for a new partnership between government, business, universities and communities, drawing on the Greater Manchester model.
- It calls for a new political culture focused on place before party, problem-solving before point-scoring and long-term thinking over short-term politics.
- The speech includes a commitment to reform public procurement to ensure maximised support for British jobs and British industry and, in return, secure more social value in the form of work placements and apprenticeships.
- It sets out a vision for major reform to the education system to ensure it is based on true parity between academic and technical, offering a path to all young people, no longer overly focused on the university route.
- The speech is the start of a significant response to the Milburn report and a drive to reduce the number of young people who are not in education, employment, or training.
Dan Haygarth28 June 2026 22:10





