Andy Burnham doubles down on plans for business rates reform

Newly crowned MP for Makerfield Andy Burnham, who is the favourite to become the new Prime Minister following Sir Keir Starmer’s resignation, has delivered a speech in Manchester calling for a reset in how Britain is governed.

In his speech at the People's History Museum, Burnham repeated plans to slash business rates to support struggling high streets, independent businesses and pubs as part of efforts to revive failing town centres.

While on his Makerfield campaign trail, according to the Manchester Evening News, Burnham told small businesses that he is “on their side”. He also called for a 20% business rate cut for all pubs and clubs, with independent shops, restaurants and cafes taken out of paying business rates altogether.

It remains unclear how he plans to achieve the business rates overhaul, but industry leaders and trade bodies have been calling for such action for some time.

Responding to Andy Burnham’s speech, Helen Dickinson, Chief Executive at the British Retail Consortium, said: “Retailers will be heartened to hear Andy Burnham’s ambition to create ‘good growth in every postcode’. Retail sits at the heart of our local economies, providing jobs, investment, and essential goods and services for local people.

“Retailers want to be at the forefront of ‘Britain’s renaissance’, helping revitalise our towns, cities, and high streets. Andy Burnham is right to recognise that business rates reform is essential to unlocking that investment. The current system remains broken, holding back growth, jobs and regeneration in communities across the country.

“If government can buy into retail, putting the right reforms in place, retailers will help deliver jobs, support families with the cost of living, and create the thriving high streets that sit at the heart of Andy Burnham’s vision.”

Former Mayor of Greater Manchester Burnham also unveiled plans for the creation of a new ‘No. 10 North’, an extended Prime Minister's Office based in Manchester, should he be elected by Labour for the role, in a move to drive regional growth and shift some decision-making power away from Whitehall.

He also revealed plans to help British-based suppliers become more stable and competitive, as well as pledging to “back our scientists, technologists, entrepreneurs and creatives”.

With regard to current business rates, as of 1 April 2026 the Government set the rate at 50.8p for properties with a rateable value of £500,000 and above, described as a high-value multiplier, or “super tax”.

In March 2025, according to High Streets UK, the “pro-growth” partnership and lobbying group of more than 5,000 businesses across the country, the higher new super tax multiplier is 5.1 times more likely to impact flagship high streets in the UK than anywhere else, “despite Government claims the proposals will target online giants”.