Andy Burnham has been advised to scrap two controversial policies introduced by Rachel Reeves if he becomes Prime Minister, according to an industry expert. Steven Mulholland, CEO of the Construction Plant-hire Association, said the Greater Manchester Mayor must alleviate pressure on construction firms by reversing higher employer national insurance contributions and inheritance tax reforms.
Expert calls for policy reversal
Mr Mulholland warned that rising costs and skills shortages are crippling the construction sector, and a Burnham-led government would need to address these issues urgently. The comments come ahead of the June 18 Makerfield by-election, where Burnham could secure a seat in Parliament. He has confirmed he would join a Labour leadership contest if Sir Keir Starmer is challenged.
Housing plans and reforms
Burnham has advocated for a greater focus on council and social housing, treating homes as essential infrastructure rather than market commodities. He also supports stronger powers for local authorities, reform of Homes England, and changes to Right to Buy to expand social housing stock. Additionally, he backs stronger tenant protections and tougher action against rogue landlords.
Mr Mulholland said: 'Andy Burnham is right to highlight the need for more homes, including more social and council housing, and there is a strong case for giving local leaders greater freedom to deliver them. But the housing debate too often focuses on ownership when the bigger challenge is delivery.'
Construction sector under pressure
The expert added that construction firms are being squeezed by rising costs, skills shortages, higher National Insurance, and inheritance tax reforms. These changes, effective from April 6, impose a 20% tax rate on inheritances above £2.5 million for firms claiming agricultural and business property relief, after the threshold was raised from £1 million following backlash. Family-run construction firms are reportedly being pushed to the brink of insolvency.
Mr Mulholland concluded: 'If government wants to build significantly more homes, it must do more than set targets. It needs to create the conditions for the construction supply chain to invest, recruit and grow.'
