Can Andy Burnham fix Britain? 4 tough tasks awaiting the new UK PM

Britain's newly appointed Prime Minister Andy Burnham delivers a speech outside 10 Downing Street after taking office, in London, Britain, July 20, 2026.

has officially taken charge as the UK’s new prime minister, stepping into 10 Downing Street on a wave of enthusiasm and a mountain of challenges ahead.

After serving for nearly a decade as the mayor of Greater Manchester, a region of about 3 million people in northwest England, Burnham returned to Parliament last month through a special election. His appointment as prime minister now marks a major shift from leading a regional administration to running a country of around 70 million people. Here’s a look at key challenges awaiting Burnham

Boosting the economy and decentralising government

Burnham inherits an economy that had been showing signs of recovery until the Iran war derailed the outlook. Economists now predict that growth will slow sharply this year, while inflation rises.

Quick answers to key questions

5 QUESTIONS
1

What are the main challenges facing Andy Burnham as the new UK Prime Minister?

Andy Burnham faces several challenges, including boosting the economy, decentralising government, addressing foreign policy issues, managing migration, and tackling the ongoing cost-of-living crisis.

2

How does Andy Burnham plan to address the cost-of-living crisis?

Burnham plans to unveil a detailed strategy to tackle the cost-of-living crisis, which includes decentralising funds to local governments and restoring public control over essential services.

3

Why is decentralising government a priority for Andy Burnham?

Decentralising government is crucial for Burnham to redirect funds to local authorities, which can better address regional needs and enhance public service delivery after decades of privatisation.

4

What stance has Andy Burnham taken on immigration policy?

Burnham intends to continue the current Labour approach on immigration, focusing on reducing net migration and supporting legislation aimed at cutting small-boat crossings while ensuring safer legal routes.

5

How does Andy Burnham’s approach to foreign policy differ from his predecessor’s?

Burnham aims to maintain strong commitments to NATO and the UK’s nuclear deterrent while being willing to disagree with leaders like Trump, reflecting a more balanced approach to international relations than his predecessor.

Hence, domestic issues top Burnham’s agenda, and he has already pledged to unveil a plan on Tuesday outlining how his government will finance efforts to bring down the cost of living.

Central to his plan is decentralising government, funnelling money to local governments and taking back some services that were privatised four decades ago.

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Joshi Herrmann, founder of Manchester news site The Mill, who has covered Burnham for years, told AP that though he may be able to soften the blow for some people who are struggling, if the question of who can remodel the economy in the , post-financial crash era, I’d be very surprised if it’s Andy Burnham

Burnham won’t have much room to raise spending. In replacing Starmer, who was elected on a manifesto that ruled out increases in the government’s major tax rates, he’s locked in unless he breaks those pledges.

Foreign policy during the Trump era

Burnham has promised to honour commitments to NATO, support the UK’s nuclear deterrent, and remain a strong ally of Ukraine. Despite having earlier strongly criticised Trump, he said he would deal with him respectfully, as he does with others, but would also be willing to disagree.

The two leaders spoke on Monday in one of Burnham’s first calls with a foreign leader. His office said he told Trump he was committed to securing shipping in the and ensuring the defense and security of the UK and its allies.

It also remains to be seen how far Burnham goes in restoring relations with the European Union after Brexit.

Messaging about Israel’s war with Hamas

Earlier, Burnham had criticised Starmer’s approach to Israel’s war with Hamas and promised that the UK would consider further sanctions against Israelis involved in Gaza violence and illegal West Bank settlements.

The issue is a sensitive one for Labour, which was found to be tainted with antisemitism before Starmer took over, and also relies on the support of a large Muslim population.

Thorny issue of migration

During his first speech as prime minister, Burnham did not mention immigration, which is a top issue for many British voters.

Like many wealthy nations, the UK has seen a rise in migration as people flee war, poverty and persecution. At the same time, a surge in small-boat crossings across the English Channel has fueled anti-immigration sentiment.

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Burnham has largely said he would follow the current Labour playbook on migration, which has touted reductions in net migration from more than 900,000 in 2023 to 171,000 last year. Channel crossings are down 40% this year compared to the same time in 2025.

Burnham wants to continue reducing net migration and voted in support of a bill that aims to further cut channel crossings and direct people to safer, legal routes.

(With inputs from AP)

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