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Burnham wins key Labour backing as Jones rules out leadership bid

Starmer ally says there is “room to borrow a little bit more” if backed by a credible growth plan

andy-burnham-labour

Andy Burnham is sworn in at the House of Commons, in London, Britain, June 22, 2026.

© House of Commons/Handout via REUTERS

Highlights

  • Darren Jones says Andy Burnham has reassured him on economic plans
  • Jones confirms he will not challenge Burnham for Labour leadership
  • Burnham is the only declared candidate after Keir Starmer announced his resignation
  • Rachel Reeves could be moved to a different cabinet role if Burnham becomes prime minister

DARREN JONES, a close ally of outgoing prime minister Sir Keir Starmer, has backed Andy Burnham to become the next Labour leader after saying he was reassured by talks over the economy.


Jones, the chief secretary to the Treasury, said he had spoken with Burnham about his economic approach and believed Labour, trade unions and financial markets could support limited extra borrowing if it was linked to a clear plan for growth.

“There is room to borrow a little bit more,” Jones told Sky News, while stressing that Burnham had not set out detailed spending plans in their discussions.

“We talked a lot about what he was thinking on the economy, what my thoughts were, and some of the potential ways forward for the new government,” Jones said.

Burnham, the former mayor of Greater Manchester who returned to Parliament after winning the Makerfield by-election, is currently the only candidate in the Labour leadership race. If no challenger emerges, he is expected to become prime minister in July without a full contest.

“Andy Burnham is going to be the next prime minister. And if there was a contest of Labour Party members, he would win,” Jones said, confirming he would not stand against him.

The comments came after Starmer announced on Monday (22) that he would step down following months of pressure over Labour’s poor polling and setbacks in local elections.

Burnham has begun preparing for a possible move into Downing Street, with one of his first major decisions expected to be the shape of his cabinet.

'Burnham may replace Rachel Reeves'

The BBC reported that Burnham is expected to replace Rachel Reeves as chancellor if he becomes prime minister, although he may offer her another senior government role. A Burnham spokesperson said no decisions had been made.

A close ally of Burnham said he respected Reeves and wanted her to remain part of his senior team.

James Purnell, a former cabinet minister under Gordon Brown, is expected to become Burnham’s Downing Street chief of staff, according to reports.

The possible new prime minister would also face early decisions on defence spending. Burnham’s team has been in talks with former defence secretary John Healey, who recently warned that current plans for military funding were not enough.

Former armed forces minister Al Carns is still considering whether to enter the leadership contest, saying he wanted to see Burnham’s policies before deciding whether to support him.

Under Labour’s rules, any challenger would need the backing of 81 Labour MPs as well as support from local parties or affiliated organisations to enter the race.

(with inputs from Reuters)

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