On Monday 20 July 2026, the UK welcomed a new Prime Minister, Andy Burnham. In his first speech outside Number 10, he highlighted the need to do politics better and the need to make this moment a circuit breaker for Britain.
What’s not to like about that statement? We are sure you can resonate with it.
However, meaningful change will take time, funding and a clear strategy. Burnham is the seventh Prime Minister since 2016, a striking statistic that underlines the political turbulence of recent years.
For businesses, constant change at the top creates a problem.
Growth takes time. Investment takes confidence. Long-term planning requires stability. It’s difficult to create and deliver meaningful policies when leadership changes so frequently.
Most business owners aren’t looking for dramatic change. They’re looking for consistency. It is business owners like yourselves who understand better than most what it means to lead from the front. It is only with strong leadership that a business thrives, and the same applies to our great country.
A New Vision, But Few Details
Burnham’s first speech focused on improving living standards, devolving power away from Westminster, helping young people into work, addressing homelessness, and rebuilding communities. These are all admirable goals. His focus on homelessness is close to our hearts given our support of local charities working in this area.
It’s a bold ambition, but at this stage we know far more about the destination than the route to get there.
The Challenge He Inherits
Whatever your political views, Burnham faces a difficult starting position.
He inherits:
- Weak economic growth
- High government borrowing
- Significant national debt
- Rising debt interest costs
- Global economic uncertainty
Interest on Government debt alone is estimated to have cost around £110 billion in 2025/26. That’s money that cannot be spent elsewhere.
As a result, Andy Burnham has relatively little room to manoeuvre financially.
Tax Will Be Under The Spotlight
One of the most closely watched areas will be taxation.
Burnham has committed to keeping the existing fiscal rules and has stressed that he will take a prudent approach to public finances. However, he has also spoken about using any “flexibility” within those rules to increase public investment.
The challenge is obvious. If the Government wants to spend more while limiting borrowing, it eventually must look elsewhere for funding.
That naturally raises questions about future taxation.
Burnham has not ruled out:
- A return to the 50p top rate of income tax
- Changes to the frozen personal allowance
- New measures to fund cost-of-living support
At the same time, he has sought to reassure markets by distancing himself from the type of unfunded tax cuts that caused turbulence during Liz Truss’s premiership.
We will have to see where Andy and team find the “wriggle room” to make change happen without spooking the markets.
At the time of writing this blog post on Monday afternoon, the markets had reacted with tentative calm. We now know John Healey to be our next Chancellor, and he is known for his calm approach.
The Manchesterism Factor
Burnham often refers to his political philosophy as “Manchesterism”, the belief that too much power and investment has been concentrated in Westminster for too long.
His vision is to push more decision-making and investment into regional areas.
For businesses outside London and the Southeast, this could be significant.
If successful, greater devolution could create opportunities for local growth, infrastructure investment, and economic development. It’s certainly an area worth watching.
What Should Business Owners Do?
Probably the same thing successful businesses have done through every political change over the last decade.
- Stay informed.
- Review your numbers.
- Manage cash flow carefully.
- Plan ahead.
The reality is that businesses can’t control who occupies Number 10. They can, however, control how prepared they are for change.
The businesses that thrive tend not to be those that predict every Budget announcement correctly. They are the ones that remain adaptable and make informed decisions based on facts rather than headlines.
Final Thoughts
Andy Burnham enters Downing Street with ambitious plans and a promise to “lift the country back up.” Whether he succeeds depends on his ability to balance growth, spending, taxation, and market confidence in an increasingly difficult economic environment.
For now, businesses will be watching closely. Not because they are looking for miracles but because they are looking for something that has been in short supply for some time, i.e. stability.
Political change often brings uncertainty, and uncertainty often creates opportunities for those who are prepared.
Whether you’re concerned about:
- future tax changes,
- business structure,
- cash flow,
- succession planning,
- property investments,
- or inheritance tax,
now is a good time to review your position.
A conversation today could help you avoid a costly mistake tomorrow.
Get in touch with your usual Myers Clark manager if you’d like to discuss how the changing political and tax landscape could affect you and your business.
We’re here to help you plan with confidence, whatever comes next. We are serious about you and your business.
If you’re not yet working with us, here’s who we help.