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If Andy Burnham becomes prime minister, it is anticipated that he will replace Rachel Reeves as chancellor and offer her a less senior cabinet role, according to BBC sources. However, a spokesperson for Burnham emphasized that no final decisions have yet been made. As the former Greater Manchester mayor prepares a team for Downing Street, he does so with the expectation of winning the Labour leadership contest, in which he currently stands as the only candidate.
Following Burnham’s victory in the Makerfield by-election, Sir Keir Starmer announced his resignation as prime minister, allowing Burnham to return to Parliament. Choosing a chancellor is regarded as one of Burnham’s most significant upcoming decisions. While many Labour MPs believe Reeves will no longer hold the position of chancellor, reports from the Financial Times indicate that she is likely to be offered a junior cabinet post. A close ally of Burnham told the BBC, “Andy really respects Rachel and I’m confident he’ll want her in his top team.”
James Purnell, a former minister during Gordon Brown’s administration from 2007 to 2009, is expected to be appointed as Burnham’s chief of staff at Downing Street. Upon becoming prime minister, Burnham will also face the immediate challenge of determining defence spending. Discussions on this topic have taken place with John Healey, a former defence secretary who recently resigned; Healey criticized the current planned increase in military funding as insufficient.
Sir Keir Starmer met with Burnham for an hour on a Tuesday to facilitate a smooth transition of leadership. This meeting marked their first contact since Burnham’s by-election victory. As Burnham remains the only declared candidate for the Labour leadership, he could potentially take office as soon as 17 July if no challengers emerge. Some Labour MPs hoping to prompt a leadership contest have considered Darren Jones, a cabinet minister and close ally of Starmer, and Al Carns, a former armed forces minister. Jones has expressed that he is currently not inclined to run but requires clarity on Burnham’s economic policies due to some concerns about market reactions. Carns stated he is still contemplating a candidacy but wants to review Burnham’s planned policies before making a decision. It remains uncertain whether either would gather sufficient nominations to appear on the ballot, given the party’s rules requiring support from 81 Labour MPs plus either 32 local branches or three affiliated organizations
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