News / Andy Burnham
What does a Burnham premiership mean for Bristol businesses?
It is almost inconceivable to think that Andy Burnham, who was visiting Bitton train station just over two years ago to bolster Labour’s general election campaign – when there was no whiff of prime ministerial ambitions – has become the next UK prime minister. Just over a month ago, he was not even an MP.
The breakneck sequence of events has put the former mayor of Greater Manchester – the “King of the North”, sometimes said in jest, sometimes in genuine admiration – at 10 Downing Street.
Leading up to his ascendancy to the top job, Burnham was not short of slogans such as “Bring Hope Back”, “Ready to Lead” and “Pro-Business”. But what does a Burnham premiership, from a self-confessed lover of the West Country and Bristol City – despite his lifelong allegiance to Everton FC – mean for Bristol businesses?
One of Burnham’s biggest pledges has been devolving more powers to local authorities. The move has been welcomed by Helen Godwin, mayor of the West of England, who believes it could provide greater control over transport, skills and economic development.
Godwin welcomed the new premier and called it is “a time for hope”.
She said: “Over the years, I have worked closely with Andy Burnham. He already knows our region well, which will set him in good stead as prime minister. But this moment is not just about Andy – it’s about the direction of our country, including the West of England as the fastest-growing regional economy over the last five years.”
Bristol businesses have consistently called for greater political will and more local decision-making, rather than relying on a top-down system. The West of England Combined Authority, which currently oversees £1.15bn of funding for the region, could also receive additional powers and investment to improve transport and connectivity, both long viewed as barriers to regional business growth.
On the steps of Downing Street, Burnham pledged to end rough sleeping in the UK. Critics, however, were quick to point out that although rough sleeping has fallen in Greater Manchester, it remains a persistent issue in the region.
According to the charity Emmaus, homelessness in Bristol has increased by 16 per cent in recent years, driven by factors including the cost of living crisis and a shortage of affordable housing. Burnham has pledged to launch the biggest social housebuilding programme since the Second World War.
the new prime minister pledged to be “pro business” – photo: House of Commons
Burnham’s “Manchester model” centres on using public investment to unlock private development through better transport and regeneration. Bristol firms will be watching closely for increased opportunities in construction and engineering.
If Burnham accelerates housebuilding and planning reform, it could help ease recruitment pressures in the construction sector while providing a boost for local firms involved in residential development, particularly social housing.
The scale of the challenge is considerable. According to Bristol City Council, the city needs to build around 3,376 new homes a year to meet the government’s lower threshold, while projections suggest that 34,650 new homes will be needed by 2040.
Burnham has promised to be “pro-business” while backing a more active state, including greater support for manufacturing, technology and regional industry.
Bristol is already a leading centre for aerospace, defence, AI and advanced technology, with innovation hubs including Isambard-AI, Science Creates, Future Space and SETsquared.
Burnham’s pledge to devolve more powers to local authorities has been welcomed by Helen Godwin, mayor of the West of England – photo: Labour Party
Continued support for research and development would likely be welcomed by businesses across these sectors. More importantly, it will retain the local tech talent in Bristol when the allure of investment havens like California looms large.
In his inaugural speech, Burnham lamented the UK’s “deindustrialisation” over the past 40 years and pledged to “put things right”. If the actions were to follow the words, Bristol’s industrial sector could expect a revival and the creation of high-skills jobs.
Bristol, with innovation hubs including Isambard-AI (pictured), Science Creates, Future Space and SETsquared, is expected to beneift from Burnham’s drive to create more tech and high-skill jobs – photo: Oakland Construction
Bristol’s green-tech companies may also welcome continued investment in net zero industries, although suggestions that Burnham could soften Labour’s previous stance on North Sea oil and gas have created uncertainty for some green-sector businesses.
Hospitality, retail and SMEs will be looking for clarity on business rates, employment costs and taxation. While Burnham has emphasised economic growth, many businesses are waiting to see whether his policies translate into lower costs or additional regulation.
A long-time champion of Manchester’s night-time economy, Burnham has indicated that his government will prioritise business rates reform to help firms stay afloat before they grow.
Bristol’s hospitality leaders, such as Puja Chadha (pictured) have been calling out the current tax system – photo: The Granary
Leaders from the hospitality industry, including chefs Tom Kerridge and Thomasina Miers, have also urged the government to cut VAT for hospitality to ten per cent, a proposal Burnham broadly backed. The idea of slashing the VAT to ten per cent has been long championed by many figures in Bristol’s hospitality sector, who argue the industry has been disproportionately affected by the pandemic, Brexit, rising energy costs, global instability and soaring rents.
However, Treasury officials have warned that reducing VAT to ten per cent could cost the Exchequer around £12bn a year. Ultimately, it is all a matter of how brave Burnham is prepared to be in walking the fiscal tightrope between balancing the books and providing relief for long-suffering businesses.
Andy Burnham when he visited Bitton station two years ago to bolster Labour’s general election campaign – photo: Milan Perera
When Bristol24/7 met Burnham back in 2024, he spoke fondly of his time playing for the Bristol City Supporters Club in London while working in the capital as a young professional. He further added that in one season he was the top goal scorer for the club. The question remains: can he now score a brace for Bristol? Only time will tell.
Main photo: House of Commons
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