Burnham Brings Optimism to Labour Conference as Economic Challenges Loom
Andy Burnham opens Labour's annual conference in Liverpool with a message of hope, but faces economic headwinds and divisive policy decisions.
British Prime Minister Andy Burnham has been in office for two months, and his party is not yet calling for his removal — a notable achievement in the current political climate. The governing Labour Party opens its annual conference in Liverpool on Sunday, with Burnham promising to move past a decade of economic and political instability that has seen seven prime ministers since the 2016 Brexit vote.
In a keynote speech scheduled for Tuesday, Burnham will say: "It's time for Britain to have hope again." He told reporters upon arriving in Liverpool on Saturday: "We've had a decade since Brexit and it's been a decade of too much drift, too much division, and we need to draw a line on that."
His message targets both the public and a Labour Party that is hopeful yet anxious — eager for better times but concerned about economic fallout from Middle East conflict. Rob Ford, a political science professor at the University of Manchester, said Burnham's challenge is to win over a "skeptical electorate" while operating within severe fiscal constraints. Ford summed it up: "How do you serve people a bowl of cold porridge and convince them it's a pepperoni pizza?"
All major UK parties hold conferences in September and October, blending rallies, social events, and policy discussions to set the political agenda. Last year's Labour gathering was somber, with members despondent over former Prime Minister Keir Starmer's unpopularity and the rise of the anti-immigration party Reform UK. Burnham, then mayor of Greater Manchester, was trailed by journalists amid speculation he would challenge Starmer. That tension ended when the party forced Starmer's resignation and replaced him with Burnham in July.
Now Labour enjoys a "Burnham bounce," fueled by the new leader's optimistic tone and modest measures like cutting tax on electricity bills and capping bus fares. Meanwhile, Reform UK faces parliamentary and police investigations into its finances, though it recently received 72 million pounds ($95 million) from two cryptocurrency billionaires.
Burnham has outlined priorities including devolving more power to local leaders for "good growth in every post code" and reforming privatized utilities, especially the costly, leaky water network. However, he faces a divisive decision on approving new North Sea oil drilling — opposed by environmentalists but backed by trade unions — and pushback on Starmer-era plans to make permanent immigration settlement harder.
The next general election is not due until 2029, but Labour's revival has sparked snap election speculation, which Burnham denies. "All of this speculation on an early election, I can knock that dead," he told ITV on Friday.
Regardless of Burnham's positivity, economic pain looms. He must explain how he will handle turbulence from the on-off U.S.-Iran war, which has severely restricted oil tanker movement through the Strait of Hormuz. Treasury chief John Healey will deliver the government's first budget on Oct. 28, with rising energy prices tightening a cost-of-living squeeze. Like other nations, Britain also needs more defense spending to counter Russian threats. That means tax hikes, spending cuts, or both may be necessary.
One potential economic boost is easing Brexit trade barriers. Burnham has pledged closer EU ties, but the extent is unclear. Under Starmer, Labour won in 2024 on a promise not to rejoin the bloc or its single market. Many Labour members, including former Prime Minister Tony Blair, want to break that pledge; Blair said last week the UK and EU should negotiate with "everything on the table." Burnham calls that a discussion for later, and progress has been slow. An EU-UK reset summit penciled for July has slipped to November at the earliest due to disputes over the bloc's "made in Europe" rules, which the UK says will hurt British producers.
Ford noted that unlike Starmer, who quickly lost public goodwill, Burnham has maintained his reputation "as an optimist and an effective communicator." But he said Burnham's "really stern test" is yet to come. "The bills are still going to land on the doormat," Ford said. "He's going to have to be the prime minister who can sell the average voter on, 'Yes, that is indeed a bowl of cold porridge in front of you, but it will get better.'"