Burnham Ascends to Premiership, Cabinet Reshuffle Looms
Starmer's Resignation Paves Way for New Leadership and Key Appointments Amidst Internal Strife
Carla Rooney
Andy Burnham will become Britain's next Prime Minister, taking the reins as Keir Starmer formally resigns on Monday, initiating a significant shift in national leadership.
Shabana Mahmood, the current Home Secretary, emerges as the frontrunner for the crucial role of Chancellor. She will become Rachel Reeves’ replacement, making her Britain’s first woman Chancellor.
Rachel Reeves will not retain the Chancellor position, despite her lobbying efforts to keep the job. Mahmood's appeal to Team Burnham is multifaceted; she cultivated a serious reputation for getting things done.
Mahmood played a central role in forcing the Prime Minister out. Discontent now bubbles to the surface within the PLP over Burnham's likely choice to run the Treasury.
Mahmood's immigration reforms stand as anathema to the party's core identity.
Eighty Labour MPs assert that Mahmood's immigration reforms stand as anathema to the party's core identity. Starmer loyalists claim Mahmood acts as the Brutus to Sir Keir Starmer's Caesar.
Meanwhile, Ed Miliband has long been tipped for Chancellor, with his camp indicating he has already worked on policy for Mr. Burnham. Burnham's inner circle of advisers, however, claims Ed Miliband would spook financial markets, proving too divisive and too power-hungry.
A senior Labour insider states Miliband actively frustrated efforts by the Treasury to approve drilling licences in the North Sea. Miliband demonstrated during his time in Starmer's cabinet that he prioritized his own agenda.
He has since signalled his intention to soften his position on North Sea drilling in a bid to become Burnham's Chancellor. Opponents of Ed Miliband have engaged in a briefing war to stop him landing the role.
If Ed Miliband is snubbed for Chancellor, he could be placed in the Foreign Office, a high-status but less powerful role. Beyond the legal debate, the UK faces rising borrowing costs, potential interest rate hikes, and increased inflation.
He cannot afford to increase public spending.
The International Monetary Fund has warned Burnham against boosting public spending without corresponding cuts, stating he cannot afford to increase public spending. Burnham will make a series of impactful announcements in the first few days of his premiership, including on the cost of living.
He will give his backing to bringing Thames Water under public ownership. Burnham will also announce plans for a policy blitz, with reforms to social care anticipated as one of the centrepieces.
£18 billion has been earmarked to help set up a national care service. Baroness Casey of Blackstock leads a review into the social care system, and Burnham has asked her to deliver recommendations by the end of the year.
Angela Rayner's clearance by an HMRC investigation last month regarding stamp duty positions her for a political comeback as Andy Burnham's new Health Secretary. Rayner is the new front-runner for the top cabinet role, with Wes Streeting potentially returning as Health Secretary if Rayner takes another position.
Lucy Powell has been linked with the role of Deputy Prime Minister, and Jonathan Reynolds will become Business Secretary. Louise Haigh, who quit as Transport Secretary after admitting a fraud offence, has been tipped to become Chancellor of the Duchy of Lancaster.
In a shock suggestion from the Westminster rumour mill, David Miliband could dramatically return to government as Foreign Secretary. Burnham's full cabinet will be announced on Monday, requiring MPs to return to London during peak holiday season for the appointments.