Five big challenges facing Burnham - and how he might tackle them
Summary
Andy Burnham will face five major policy challenges as he takes office, including managing welfare costs, defence spending, and social care for older people. Each issue involves complex financial and social considerations that previous governments have struggled to solve.Key Facts
- The cost of sickness and disability benefits for working-age people is about £58 billion a year and may rise to £78 billion by 2030.
- Personal Independence Payments (PIP), a benefit supporting disabled people, is expected to grow from 4 million to 5 million claimants by 2030.
- Previous attempts to reform disability benefits have not reduced costs, and Labour’s 2023 plan to cut costs was reversed due to opposition.
- Defence spending is planned to rise to 2.7% of GDP by 2030, but there is pressure to increase it to 3% or even 3.5%, which would require billions more annually.
- Defence procurement projects face delays and inefficiencies, with only a few on track to be delivered on time and budget.
- England’s social care system is underfunded, with about two million older people having unmet care needs.
- Public social care funding is based on means testing, which some view as unfair and insufficient.
- Policy reform ideas include offering therapy or other support instead of cash benefits for some disabled young people.
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