UK's Burnham says he will stick to fiscal rules, devolve power
By Frank Prenesti
Date: Monday 29 Jun 2026
(Sharecast News) - UK Prime Ministerial heir-apparent Andy Burnham on Monday said he would stick with current fiscal spending rules and allow local regions to take control of essential services such as energy and housing if he won the Labour Party leadership.
In his first major policy speech since being re-elected to parliament at the Makerfield by-election, Burnham set out his aims and objectives, with a focus on devolving power away from London and giving local regions more autonomy.
Bond yields fell slightly after Burnham said he wanted devolution "backed by the stability that comes from sound public finances ... and the discipline of our current fiscal rules".
Traders had been fretting, without foundation, that the centrist Burnham would embark on a public spending spree.
The former cabinet minister is currently the only declared candidate to take over from Keir Starmer who resigned a week ago and could be made PM within weeks.
"I know people can't wait forever for change. I heard on doorsteps in Makerfield how people need a bit extra now to help with rising costs. I will do my very best to deliver it and, whilst not taking risks with the public finances, will seek to give Britain some breathing space as soon as I can," he told Labour Party supporters in Manchester.
Burnham added that he wanted to reform business rates to help pubs and high street businesses and prioritise building more council homes.
"Britain has lost almost 1.5 million council homes since the 1980s, and around the same number of people are now on housing waiting lists and have been there for a very long time. As a result, the country is in a housing trap," he said.
"We are forced to chase rents in the private rented sector through the benefits system. When governments try to control these costs by freezing local housing allowance, it makes families homeless and places unfunded pressures on councils when they have to pay for temporary accommodation. Britain's housing crisis is having a ruinous impact on its public finances."
Part of his power devolution would also allow "all parts of the UK are able to take greater public control of essential services like water, housing, energy and transport".
Reporting by Frank Prenesti for Sharecast.com
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