Andy Burnham becomes PM as Reeves and Lammy exit cabinet

Andy Burnham has officially become Britain’s latest Prime Minister. The Makerfield MP received a formal invitation from the King to form a government, following the resignation of Sir Keir Starmer. Mr Burnham, who previously served as the Mayor of Greater Manchester, is the fourth prime minister to serve during the reign of King Charles III. He is the first person to hold the office representing a constituency in the north-west of England since Harold Wilson.

The transition of power was immediately followed by a significant reshuffle of the Cabinet. Within hours of his arrival at Number 10, several senior figures from the outgoing administration confirmed their departures. Chancellor Rachel Reeves, Deputy Prime Minister David Lammy, Business Secretary Peter Kyle, Housing Secretary Steve Reed, and Attorney General Richard Hermer all exited the government.

Media additions

Mr Burnham’s inaugural address on the steps of Number 10 outlined a desire to shift the political and economic focus of the country. He pledged a 10-year plan for the United Kingdom, which he described as a "circuit breaker for Britain." Addressing the crowd, he stated that his generation of politicians must "raise our game and rise to the new challenge."

Immediate policy agenda and rough sleeping

The new Prime Minister identified tackling homelessness as his first priority, announcing an initial investment of £340 million to provide 1,200 homes and intensive support for at least 3,000 long-term rough sleepers over five years. This funding, sourced from uncommitted budgets within the Ministry of Housing, Communities and Local Government, supplements the previously announced £3.6 billion allocated under the National Plan to End Homelessness. Prior to his speech, Mr Burnham visited The Passage, a homelessness charity in Victoria, to observe support operations firsthand.

"For too long, we’ve been told that ending rough sleeping will take decades or even that it’s impossible. I’m not having that. This is something a government can fix if it chooses to. Today, I’m choosing to. On my first day as Prime Minister, I’m announcing this Government’s commitment to finally end long-term rough sleeping across the UK at the earliest opportunity."

Andy Burnham, prime ministerial address, via Manchester Evening News

Mr Burnham also indicated that further cost-of-living measures would be unveiled on Tuesday. He stated he is considering options including income tax adjustments for lower earners, rent controls, and capping bus fares, though no final decisions have been reached.

Cabinet departures

The departing ministers framed their exits as part of the normal process of a new Prime Minister forming their own administration. Rachel Reeves, who reports suggest was offered another role but declined, wrote on X:

"It has been the privilege of my life to serve as the Chancellor of the Exchequer. The economy today is stronger, fairer and more resilient because of the choices we have taken as a Labour Government over the past two years."

Rachel Reeves, former Chancellor, via The Guardian

David Lammy also confirmed his departure on social media. "I would have been proud to continue serving in Cabinet. But a new Prime Minister is entitled to build his own team, and I wish Andy Burnham and the new Cabinet every success," he wrote. Attorney General Richard Hermer noted his pride in his work regarding the Hillsborough Law, while Steve Reed expressed disappointment regarding his departure while calling for unity within the parliamentary party.

International engagements

Downing Street has confirmed that Andy Burnham held his first calls with world leaders on Monday afternoon. He spoke with US President Donald Trump. Mr Burnham has also received congratulations from international figures, including Italian Prime Minister Giorgia Meloni, Irish Premier Micheál Martin, and Scottish First Minister John Swinney.

The new Prime Minister’s initial days will involve formal briefings with the civil service, updates on national security, and the traditional drafting of letters to the commanders of the United Kingdom’s nuclear submarines. He also intends to establish a "No 10 North" hub in Manchester, planning to balance his work between London and the north-west.