Starmer Announces Funding as Burnham Sparks Row

Prime Minister Keir Starmer has announced up to £20 million each over a decade for 75 local authorities to fund community‑led projects in marginal seats, a move presented as a localised response to Reform UK and partly driven by weak polls. Greater Manchester Mayor Andy Burnham's recent interviews — calling for moving “beyond being in hock to the bond markets,” large borrowing for housebuilding, higher council tax on expensive homes, a 50% top rate and more public ownership — have prompted intense speculation he could mount a Labour leadership challenge. Starmer, several cabinet ministers and Downing Street publicly rebuked Burnham, warning that abandoning fiscal rules risks a Truss‑style market rout and stressing economic stability is the government's foundation. Many MPs and ministers say a challenge is impractical given Burnham lacks a Commons seat, though some backbenchers praise his vision; Conservatives and commentators have seized on the row to attack the government's competence while the Chancellor and Downing Street seek to reassure voters.