Andy Burnham proposes state-funded care service and closer EU ties at Labour conference
Speaking in Liverpool, the British Prime Minister announced plans for public utilities, municipal housing, and a 2030 cap on pension increases alongside talks with Brussels.
Keynote address in Liverpool
British Prime Minister Andy Burnham delivered his first keynote speech as Labour Party leader at the annual conference in Liverpool on Tuesday. Addressing party delegates under the conference slogan "Hope again", Burnham called for a comprehensive departure from previous economic policies. Burnham took office in late July 2026 following the resignation of Keir Starmer and a by-election victory that returned him to the House of Commons. During the nearly hour-long address, Burnham paused in tears while recalling his background and the recent death of his father, who passed away two weeks earlier after years in residential dementia care.
More of the same is not enough. Britain has been on the wrong path for too long.
Public services and national care reform
Burnham placed a universal care service at the centre of his domestic programme, proposing an English system funded by general taxation to mirror the National Health Service. Under existing rules, care recipients fund their own accommodations, which frequently leads families into severe financial distress. Alongside social care, the Prime Minister promised the largest municipal housing construction programme since the post-war era, granting local councils powers to seize and renovate derelict residential properties. Burnham also criticised past privatisations in the water and power sectors, outlining intentions to bring sections of the electricity grid and water supply networks back under state oversight.
I accept that I might have to pay a political price for this, but someone has to rip the plaster off quickly now.
Pension rules and fiscal discipline
The conference exposed internal party friction over the future of the state pension triple lock, an arrangement introduced fifteen years ago that increases pensions by the highest of wage growth, inflation, or 2.5%. Burnham announced plans to restrict pension growth starting in 2030 to inflation or a maximum of 2.5%, slowing long-term social expenditure. Housing Minister Angela Rayner defended the proposal, noting that Burnham was right to spend political capital on open debate. Unite union general secretary Sharon Graham warned against the change, describing the removal of the guarantee as madness. The proposal follows an address on Monday by Chancellor of the Exchequer John Healey, who insisted on strict budget limits to manage national debt ahead of the formal budget unveiling in late October.
- Andy Burnham assumes the premiership following Keir Starmer's resignation.
- Chancellor John Healey addresses party conference on fiscal discipline.
- Andy Burnham delivers keynote address proposing care and utility reforms.
- Government removes value-added tax on electricity supplies.
- Labour administration presents its formal government budget plan.
- Proposed pension increase limit of inflation or 2.5% takes effect.
European engagement and economic relief
On foreign policy, Burnham stated that Brexit had generated more harm than benefit for the national economy. He announced plans to use an upcoming summit with European Union leaders later this year to discuss migration policy and industrial access for sectors affected by trade barriers. In the domestic economy, where one in eight young adults remains out of employment or education, the government introduced immediate relief measures, including the removal of value-added tax on electricity from Thursday and reduced pub taxes. The changes follow a shift in public opinion, with Labour regaining first place in opinion polls ahead of Reform UK and the Conservative Party for the first time in eighteen months.
