Newly appointed UK Prime Minister Andy Burnham convened his Cabinet for its inaugural meeting on Tuesday, following a significant reshuffling of government positions that saw allies of his predecessor, Keir Starmer, removed.
Burnham announced an immediate measure to alleviate financial pressures, introducing a tax cut on energy bills set to take effect on October 1. This cut is expected to save the average household approximately 45 pounds ($60) annually. The funding for this initiative will be derived from the cancellation of a planned digital ID card system, an initiative introduced under Starmer's leadership.
Burnham, previously the mayor of Greater Manchester, assumed the role of prime minister on Monday, succeeding Starmer as leader of the governing Labour Party. His ascent to the premiership follows Starmer's resignation after two years in office, a period that included a landslide election victory but was ultimately marked by perceived missteps and policy reversals.
In his initial address as prime minister, Burnham outlined a broad agenda focused on easing the cost of living, devolving political authority, stimulating industrial growth, and addressing homelessness. His administration has begun by restructuring the government to align with his priorities.
John Healey has been appointed as the new finance minister, replacing Rachel Reeves. Healey, a former defense secretary, previously expressed criticism of the Treasury's spending practices. Wes Streeting, who resigned as health secretary in May, has taken over the defense portfolio.
Key appointments also include Ed Miliband as Foreign Secretary, Angela Rayner as Housing Secretary, and Jonathan Reynolds as Business Secretary, with an expanded remit covering innovation and science. Louise Haigh, a close ally of Burnham, has been named First Secretary of State and Chancellor of the Duchy of Lancaster, serving as deputy prime minister.
Shabana Mahmood will continue as Home Secretary, maintaining her role overseeing immigration policies. Several senior ministers aligned with Starmer, including former Deputy Prime Minister David Lammy and ex-Business Secretary Peter Kyle, were removed from their positions.
The international security landscape was highlighted on Monday, the day Burnham took office, when a Russian warship conducted a live-fire exercise in the English Channel. The Ministry of Defense confirmed that the Royal Navy monitored the vessel, the frigate Neustrashimy, in international waters and remains vigilant in protecting national security.