Conservative leadership contender Kemi Badenoch has warned that a future Prime Minister Andy Burnham would impose a 'Burnham premium' on taxpayers, as leaked plans reveal his ambition to bring water and energy utilities under public control. Sources close to the Greater Manchester mayor say he is 'completely serious' about taking over 'the essentials of life', a move critics argue could cost billions.
According to allies, Burnham's agenda would start with Thames Water, which he believes should be taken into special administration rather than accepting a creditor deal that would write off up to £1bn in environmental fines. Over a decade, the entire water sector could be nationalised, modelled on Berlin or Paris where municipal governments hold majority shares but allow worker and resident board representation.
Energy grid operations and distribution would also be transferred to public ownership, though power generation and retail supply would remain private. Badenoch claims such policies would create a 'Burnham premium'—higher costs and inefficiency—for households and businesses, echoing the failures of past nationalisations.
Burnham's team, including former energy minister Miatta Fahnbulleh and outgoing Makerfield MP Josh Simons, are collating ideas for government. However, a spokesperson declined to comment on specific policy plans. The warnings come as Labour anticipates victory in next week's Makerfield by-election, boosting Burnham's leadership prospects.
