Andy Burnham declares war on the South: Incoming PM to tee up huge new tax raid on households in first big speech today... as he vows to govern from Manchester

By JAMES TAPSFIELD, UK POLITICAL EDITOR Published: 08:21, 29 June 2026 | Updated: 08:28, 29 June 2026 Andy Burnham will put the South and the wealthy on notice today as he gears up for Downing Street. The PM-in-waiting is giving his first big speech in Manchester this morning, pledging to move power and money North.  But the overwhelming Labour leadership favourite is expected to dodge giving details of his plans - and aides have indicated he will not even take questions from the media. The set-piece speech - pompously tagged a 'foundational text' by Mr Burnham's allies - comes as he closes in on No10. He will take over from Keir Starmer on July 20 barring the unlikely emergence of a rival challenger. He is on track to become premier in a Labour 'coronation', without a full vote of MPs or party members. But despite his lack of mandate, the former Greater Manchester mayor will demand ten years in power. Andy Burnham will put the South and the wealthy on notice today as he gears up for Downing Street Mr Burnham will take over from Keir Starmer (pictured) on July 20 barring the unlikely emergence of a rival challenger Mr Burnham will put devolution at the heart of his programme, arguing that transferring powers and money to the North from Whitehall will help to generate 'good growth in every postcode'. This could include tax-raising powers for mayors as well as greater control over welfare and post-16 education. There are fears the blueprint, being worked on by potential Chancellor Ed Miliband, will mean a string of new tax hikes focused on better-off families in the South. Mr Burnham has previously backed a property tax that will punish those with more valuable homes, as well as an increase in capital gains tax and a new 'death tax' to fund social care. He has stridently supported a revaluation of council tax that could result in huge increases in bills in London and the South East. Mr Burnham will also announce he wants to create a 'No10 of the North' in Manchester - where he was mayor until winning the Makerfield by-election. As PM he would spend a significant proportion of his time there, despite warnings it would require a hugely expensive security operation replicating that at the real No10.  Some Labour MPs are nervous at the prospect of a North-South clash, fearing voters will be furious at being punished for where they live. Mr Burnham will argue that investment in regional infrastructure and technical education could pay dividends in 10 years. He will claim the South could benefit in the long-run from giving the North more money. Mr Burnham has backed Labour's 'fiscal rules' but supporters believe they can be circumvented to borrow billions of pounds more. The former Cabinet minister, who was an MP for 12 years before becoming mayor in 2017, will suggest his generation of politicians must take responsibility for the loss of public trust in politics. But he will argue that he can provide the 'circuit breaker' needed to 'lift Britain back up'.   Meanwhile, frenzied speculation continues over the shape of Mr Burnham's Cabinet - which he is not ready to announce.  Rachel Reeves appears to have conceded she will no longer be staying on as Chancellor. Mr Miliband has been widely tipped to succeed her, but some unions, businesses and moderate Labour MPs have been trying to head off the appointment. In a boost for Mr Miliband, deputy Labour leader Lucy Powell - a close Burnham ally - said she thought he would be good at running the Treasury. Mr Miliband was her boss when he was Labour leader. Speculation is mounting that Mr Burnham could also bring back David Miliband, potentially to his old job as Foreign Secretary.  Ed Miliband has been widely tipped to succeed Rachel Reeves as Chancellor, but some unions, businesses and moderate Labour MPs have been trying to head off the appointment Speculation is mounting that Mr Burnham could also bring back David Miliband, potentially to his old job as Foreign Secretary That would reunite many of the senior figures from the New Labour era at the top of Government. Conservative leader Kemi Badenoch has urged Mr Burnham to come to the Commons and set out his priorities before summer recess, due to begin on July 16 four days before he takes over in No10.  Shadow Chancellor Sir Mel Stride branded the emerging plans a 'disaster', adding: 'We are about to see what a real Left-wing government looks like. 'It's clear that Burnham will double down on the mistakes Starmer and Reeves have made. 'All the signs are that he has no ideas other than yet more borrowing, taxes and spending.' The comments below have not been moderated. The views expressed in the contents above are those of our users and do not necessarily reflect the views of MailOnline. By posting your comment you agree to our house rules. Do you want to automatically post your MailOnline comments to your Facebook Timeline? Your comment will be posted to MailOnline as usual. Do you want to automatically post your MailOnline comments to your Facebook Timeline? Your comment will be posted to MailOnline as usual We will automatically post your comment and a link to the news story to your Facebook timeline at the same time it is posted on MailOnline. To do this we will link your MailOnline account with your Facebook account. We’ll ask you to confirm this for your first post to Facebook. You can choose on each post whether you would like it to be posted to Facebook. Your details from Facebook will be used to provide you with tailored content, marketing and ads in line with our Privacy Policy.