Labour's leadership contest was underway today as rival candidates set out their plans for government, while Sir Keir Starmer attempted to show he is still in charge by focusing on global events.
Leadership Rivals Emerge
Former Health Secretary Wes Streeting announced plans to cut energy bills by pressing ahead with North Sea drilling, while Greater Manchester Mayor Andy Burnham highlighted his commitment to regular increases in the state pension. The battle to replace Sir Keir in Number 10 is set to ignite if Mr Burnham wins the Makerfield by-election on Thursday, with his supporters poised to publish a letter demanding the Prime Minister set out a timetable for his resignation.
Starmer's International Focus
But Sir Keir was determined to demonstrate it was business as usual, as he prepared to meet world leaders at the G7 Summit in Evian, France. Top of the agenda will be the ongoing conflicts in Ukraine and the Gulf, with a focus on restoring freedom of navigation in the Strait of Hormuz, a key global shipping route that has been blockaded by Iran.
Downing Street sources said Sir Keir would also use the three-day summit to deliver growth and security at home, after welcoming Japanese counterpart Sanae Takaichi to Downing Street yesterday. The pair discussed Japanese investments of more than £18 billion in infrastructure, financial services and offshore wind.
Confrontation with Trump
However, the Prime Minister is braced for a confrontation with US President Donald Trump, who will also be in France and plans to raise concerns about what he sees as the UK’s failure to control immigration. The White House fears that European nations including the UK will become “hostile” because of an influx of migrants changing “demographics and values”, according to reports.
Streeting's Campaign Pledges
While Sir Keir prepared to head overseas, leadership rivals here at home were jockeying for position. Mr Streeting kicked off his campaign to become Prime Minister by pledging to drill for more oil and gas if he enters Number 10. The government is currently deciding whether to allow production to begin at Jackdaw gas field and Rosebank oil and gas field, with Energy Secretary Ed Miliband understood to be firmly against the proposals.
But Mr Streeting argued that declining oil and gas production will cost the Treasury £1.6 billion in tax receipts in 2024/25. He said revenue from the two new fields could be funnelled into new heat pumps, home insulation starting with council houses, batteries and other electrification projects that both cut household or business energy bills and reduce carbon emissions.
And in an apparent rebuke to Mr Miliband, Mr Streeting said opposition to drilling was driving up support for Reform UK, led by Nigel Farage. He said: “Opponents of the North Sea say it sets the wrong example to the world. But the worst example we can set is that net zero can only be delivered on the backs of the poor and working people’s jobs. This is the route to Nigel Farage walking into Downing Street and destroying our renewables industry.”
Mr Streeting is also set to announce plans to loosen immigration restrictions for 20,000 of the world’s leading scientists, AI experts and engineers, to try to attract them to come to the UK. He said: “Voters who want lower levels of migration aren’t opposed to inviting tomorrow’s Nobel Prize winners to make their discoveries here in Britain.”
Burnham's Pension Commitment
Rival leadership candidate Mr Burnham last night confirmed he was committed to maintaining the pension triple lock, which ensures the state pension rises in line with inflation or average earnings. Voters go to the polls in the Makerfield by-election on Thursday, with Mr Burnham tipped by pollsters to win although Reform UK insists they are still in with a chance of victory.
The result in the North West constituency will be announced in the early hours of Friday morning, and if Greater Manchester Mayor Mr Burnham is re-elected as an MP then the campaign to force Sir Keir out is expected to begin almost immediately. More than 100 Labour MPs who back Mr Burnham are expected to demand Sir Keir sets out a timetable for his departure.
A separate letter nominating Mr Burnham for the party leadership will also be circulated. Under Labour Party rules, he would need the support of 81 MPs to trigger a leadership contest. And there could also be more ministerial resignations, following the bombshell resignation of Defence Secretary John Healey last week. The hope among Mr Burnham’s supporters is that Sir Keir will agree to stand aside, avoiding a bloody leadership battle in which the mayor has to take on a sitting Prime Minister.
