LONDON—British Prime Minister Andy Burnham convened his first Cabinet meeting on Tuesday, setting out a government agenda focused on easing cost-of-living pressures, maintaining fiscal discipline and delivering early measures aimed at households facing persistent economic strains.
The meeting at 10 Downing Street came a day after Burnham formally took office and appointed a new ministerial team following his election as Labour leader and his appointment by King Charles III to form a government. Burnham has described his administration as a "cost of living government" and has pledged to provide what he called early "breathing space" for families while pursuing longer-term plans to strengthen economic growth.
Burnham's Cabinet includes John Healey as Chancellor of the Exchequer, Shabana Mahmood as Home Secretary and Ed Miliband as Foreign Secretary. Other senior appointments include Louise Haigh as First Secretary of State and Cabinet Office minister, Wes Streeting as Defence Secretary and Pat McFadden as Work and Pensions Secretary.
According to officials and public statements, Burnham used the meeting to emphasize coordinated action across government on living costs while reaffirming his commitment to existing fiscal rules. He has stepped back from proposals that would have increased the personal income tax allowance, citing the cost to the public finances, while maintaining pledges not to raise the main rates of income tax, national insurance or value-added tax.
The new government has already announced plans to remove value-added tax from household electricity bills for a limited period beginning later this year, describing the measure as part of its initial response to pressure on household budgets. Burnham has also outlined broader priorities including increasing housing supply, tackling rough sleeping and supporting industrial development outside London.
Britain's economy has experienced subdued growth for more than a decade, with elevated public debt constraining government spending despite easing inflation. Economists have said Burnham faces the challenge of balancing demands for immediate financial relief with maintaining investor confidence and the government's fiscal framework.
The Cabinet meeting marked the formal start of Burnham's administration as ministers prepare further policy announcements ahead of the government's next budget and legislative agenda.
