Labour MPs warn Burnham's 10-year plan lacks the radicalism and detail needed to revive heavy industry

"The risk is we don't see reindustrialisation at all"
Andy MacNae, who leads the ReRG, on fears the 10-year plan will not fill gaps in industrial policy.
Mark

Why does a meeting between backbenchers and a Cabinet Office minister matter?

Mimi

Because these aren't fringe voices. Many sit in red wall seats that were vital to the 2024 landslide, and they're warning the prime minister's central project may disappoint.

Mark

What exactly do they want?

Mimi

Immediate energy bill support for industrial firms, a minister for reindustrialisation, and a stronger role for No 10 North in Manchester.

Mark

And the budget was a missed chance, in their view?

Mimi

They'd asked Healey to expand the scheme that cuts energy costs for about 10,000 businesses. He announced a £100 council tax rebate for households and left the business scheme unchanged.

Luke

Worth being careful here. The concern that the plan is modest comes from MPs' reading of ministerial briefings. Nobody has seen the document, and it isn't finished.

Mimi

Fair. Burnham himself says the briefings were inaccurate and meant to play it down, and that the plan will be substantial.

Mark

What about the question of who is writing it?

Mimi

Peter Hyman is reported to be overseeing it, but officials say Burnham decides. MPs say they're unclear who leads.

Luke

And BCG: one MP called its involvement a tragic joke, but that's a single anonymous view. Downing Street says it supplies one consultant. We don't know how much influence that actually carries.

Mark

So what's settled?

Mimi

That the meeting is happening, the budget left the scheme alone, and the plan may slip to January. The rest depends on what's published.

  • Heavy industry is being squeezed by high energy prices, and MPs from former red wall seats say the government is not responding fast enough.
  • A Wednesday meeting with Cabinet Office minister Sally Jameson puts the Reindustrialisation Research Group directly in front of the plan's architects.
  • Confusion over who is writing the document, and the role of Boston Consulting Group, has stirred distrust among backbenchers.
  • The budget left the industrial competitiveness energy scheme untouched while households received a council tax rebate, and MPs read that as a signal.
  • The plan may slip to January, and the next signals to watch are energy bill support, a reindustrialisation minister, or a stronger role for No 10 North.

Before a new year turns, a circle of Labour MPs, many of them shaped by the former red wall seats that carried the party to power, is preparing to tell a minister that the government's ambitious ten-year plan may not be bold enough to rescue the industries that built their towns. The unease reaches beyond any single policy: it concerns whether words about a new age of industry will become the hard choices of energy costs, public ownership and who holds the pen. Such moments recur in every government's life, when a promise of renewal meets the stubborn weight of what has already been lost. Whether this one is answered with substance or with more consultation will show what the project of reindustrialisation truly means.

On Wednesday, a group of Labour MPs will meet the Cabinet Office minister Sally Jameson to say they fear Andy Burnham's flagship ten-year plan will not go far enough. The members of the Reindustrialisation Research Group speak for many former red wall seats that helped deliver Labour's landslide, and their chief worry is heavy industry, which they say is being crushed by high energy prices and too little government support.

Their frustration has built over several weeks. Before the budget, the group asked the chancellor, John Healey, to widen the scheme that lowers energy costs for around 10,000 businesses. Instead, he announced a £100 council tax rebate for winter bills and left the business scheme unchanged. MPs took that as a sign that the rhetoric of a "new age of industrialisation" had not yet become policy.

The plan itself is meant to cover public control of utilities, lower bills and a national care service, and it may now slip to January. MPs also question who is shaping it. Peter Hyman is reported to be overseeing the work, and Boston Consulting Group is helping draft it, a role that unsettles many members. Downing Street says the firm supplies only one consultant.

Burnham insists the plan's significance is being underestimated and that the latest briefings were inaccurate. He promises a substantial vision that weaves the threads together. The question now is whether the final document will bring energy support, a reindustrialisation minister, or a bigger role for No 10 North.

On Wednesday, a group of Labour MPs will sit down with Sally Jameson, the Cabinet Office minister, to tell her they fear Andy Burnham's flagship 10-year plan for government will fall short. The MPs belong to the Reindustrialisation Research Group, known as the ReRG. Many of them represent "red wall" seats that helped deliver Labour's landslide in 2024.

Their main worry is heavy industry. Members of the group say Britain's heavy industries are being crushed by high energy prices and a lack of government support, and they doubt the plan will do enough to change that. Andy MacNae, who leads the group, said there are many gaps in the government's reindustrialisation strategy and that the 10-year plan is a chance to fill them. But in the briefings MPs have received, he said, that is not what they are seeing. He credited ministers with good engagement, yet said the group needs something more constructive. The risk, he warned, is that reindustrialisation never arrives and deindustrialisation continues.

Jonathan Hinder, another member, said reindustrialisation cannot rest on political slogans. In his view the country is going in the wrong direction and needs fairly drastic action, which he said this government is not yet delivering.

Burnham has billed the plan as the defining blueprint for his time in office. It is meant to cover bringing utilities under public control, cutting bills and creating a national care service. MPs had been told to expect it before the end of the year, but last week the prime minister said it could slip to January. Burnham has suggested industry will sit at the heart of his economic agenda, and the chancellor, John Healey, promised at this year's Labour conference a "new age of industrialisation". Many MPs, though, feel the rhetoric has not yet been matched by policy.

The budget is the example they point to. Before it, the ReRG asked Healey to expand the British industrial competitiveness scheme, which lowers energy costs for about 10,000 businesses. The chancellor instead announced a £100 council tax rebate to help households with energy bills over the winter, and made no change to the business scheme.

The group now wants the 10-year plan to include immediate energy bill support for industrial companies. It also wants a minister for reindustrialisation, and for No 10 North in Manchester to be empowered to oversee the agenda. Some MPs are uneasy about ministerial briefings in recent days that suggest the plan will be a modest document, subject to lengthy consultation.

There is also confusion over who is writing it. Peter Hyman, who previously advised Keir Starmer on his missions, is reported to be overseeing the process, although officials insist Burnham himself will take the key decisions. Many MPs are also troubled by the involvement of Boston Consulting Group, which previously employed Burnham's chief of staff, James Purnell, and is helping draw up the plan. One MP called the idea of BCG helping to reindustrialise Britain "a tragic joke". Downing Street says BCG is supplying just one consultant.

Burnham has pushed back. He told the Economist last week that people are underestimating the plan's significance, and that inaccurate briefing this week was intended to play it down. He promised a clear vision that would be substantial and compelling because it weaves different threads together. What to watch now is whether the final document, possibly delayed to January, includes energy support, a reindustrialisation minister or a bigger role for No 10 North.

There are a lot of gaps in the government's reindustrialisation strategy which are not yet filled. The 10-year plan is a chance to fill them, but in the briefings we have been given that is not what we are seeing.
— Andy MacNae, head of the Reindustrialisation Research Group
People are underestimating the significance of this... I will lay out my very clear vision for Britain, and it will be substantial.
— Andy Burnham, to the Economist
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