Andy Burnham establishes a new economic structure and appoints John Healey as Chancellor to drive UK growth.
Andy Burnham has launched a major restructuring of the UK government, creating a new department to serve as the "dominant driver" of the national economy. The administration announced the formation of the Office of the Prime Minister and Cabinet, which will be led by Louise Haigh. This new office will oversee operations in London and a new "No 10 North" unit in Manchester, which aims to empower regional growth. To support these changes, the administration announced that John Healey has been named Chancellor of the Exchequer. Healey will balance Burnham’s left-leaning agenda with the need for fiscal discipline. The new government has already begun implementing cost-of-living measures, including a plan to cut household electricity sales tax from 5% to 0% by 2026-27. While some investors expressed concern over potential spending, the bond markets reacted positively to the cabinet choices. Burnham emphasized that while the government aims to provide relief for households, it remains committed to showing how these policies will be funded.