Andy Burnham Vows to Put Scottish Economy and Jobs at Heart of Government Plan
Burnham Pledges Scottish Jobs and Economy as Government Priority

Andy Burnham has vowed to place Scottish economic growth and job creation for young people at the centre of his plan for government. Writing exclusively for the Sunday Mail, the incoming Prime Minister has also promised to “extend devolution” in order to “restore hope” while putting “local people in the driving seat” of their communities.

Scotland Central to Burnham's Vision

Burnham said: “Scotland will be central to my plan for changing our politics and giving people real hope for the future again. I’m determined to make sure I use every lever I can to make life better.” The MP has long argued for a federal UK with more power held outside London in the hands of new mayors and local authorities.

Hinting at further devolution for Scotland, he added: “People who know a place should have real power in shaping their future. From Aberdeen to Stornoway, from Dumfries, to Orkney and Shetland, my mission is clear. Restoring hope and driving growth through a clear, confident, authentically Labour direction. The future we’ll pave together will be rooted in fairness and will ensure local people are in the driving seat.”

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Working with the Scottish Government

While Burnham is understood not to favour more powers for Holyrood and the Scottish Government, he promised to work constructively with First Minister John Swinney. He insisted his priority will be delivering the “well paid jobs young people need” by concentrating on economic growth rather than “political squabbling”.

It has emerged Burnham will announce plans for new oil and gas drilling in the North Sea as part of a policy blitz on entering Downing Street which could have huge ramifications for jobs in the North East of Scotland. The new Labour leader held a video call with his party’s MSPs last night in which he also reiterated his priority was industrial renewal.

Focus on Industrial Renewal and Job Creation

A source said: “There was a big focus on the economy and what can be done to drive quality job creation, whether that is through public procurement or the energy industry. Andy was extremely well informed for example of the awarding of ferry contracts abroad rather than investing in Scottish engineering. He was clear that he wants to work constructively with the Scottish Government and that he respects Scottish Labour’s autonomy.

“But it was also very evident that he knows Labour needs to get things right this time, that the party cannot afford to squander the opportunity to convince people that the party is on their side and is competent at getting things done. Andy is coming in with a lot of energy and optimism and that is rubbing off and the message was that it is time to roll up our sleeves and start delivering for communities rather than focussing on the opposition, infighting and petty politics.”

North Sea Oil and Gas Policy

The Labour Party’s 2024 manifesto pledged to not issue new oil and gas licences but to honour existing ones. However, there has been huge debate over two fields in Scotland - Rosebank and Jackdaw - which regulators approved in 2022 and 2023 under the then Conservative government, but were overturned in 2025 after a legal challenge. It is understood Burnham wants to see these projects go ahead which would not contravene party manifesto commitments and could deliver a huge economic boost in Scotland.

Current Energy Secretary Ed Miliband has campaigned against new oil and gas developments in favour of pursuing green alternatives but there has been growing resistance in the face of conflicts in the Middle East and Ukraine which have put pressure on energy prices. US President Donald Trump has made repeated calls to “open North Sea oil” and said in a social media post prior to Starmer’s resignation that he had “failed badly” on energy policy.

Burnham's Path to Downing Street

Burnham, who returned to Parliament a month ago in a by-election, emerged as the sole leadership candidate after being backed by 379 Labour MPs, as well as all 11 trade unions affiliated to the party, earlier this week. His policy agenda is believed to include new council homes, reinvigorated high streets and improvements to education.

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The former mayor of Greater Manchester has also previously outlined his vision for reforms to social care, greater public control of water and energy firms and the devolution of power away from Whitehall. Burnham will unveil his Cabinet next week with rumours continuing last night over who will be offered the great offices of state.

Cabinet Appointments and Political Fallout

Once Keir Starmer formally resigns as Prime Minister on Monday, Burnham will be sworn in, deliver a speech outside Downing Street, then begin appointing his candidates. Shabana Mahmood is believed to be the frontrunner for Chancellor however that has sparked fury among supporters of Ed Miliband who is understood to want the post. Both MPs along with big hitters including Wes Streeting, Yvette Cooper, Angela Rayner, Lisa Nandy, Lucy Powell and Louise Haigh will all be hoping for top jobs including Foreign Secretary and Home Secretary.

Health, defence, education, social security and trade ministerial jobs will also be up for grabs. There have been rumours of a shock return to frontline politics for former New Labour minister David Miliband - the brother of Ed. Several Scottish MPs will be hoping to retain government posts and win promotions including current Scottish Secretary Douglas Alexander, Michael Shanks, Ian Murray and Zubir Ahmed. Another Scottish MP being tipped is Blair McDougall - a close ally of Burnham’s new chief-of-staff James Purnell - with speculation he could replace Alexander as Scottish Secretary.

Defence Secretary John Healey’s resignation as Defence Secretary was part of the reason Starmer was forced out, following a year of wrangling over funding for the defence investment plan. Burnham has pledged to boost funding, but any such move will likely require cuts to other departments. Dan Jarvis, Mr Healey’s replacement is expected to be ousted and Healey has been linked to a sensational return. Other options could include Aberdeen born former Royal Marine Al Carns.