Backbenchers urge Burnham to anchor industrial strategy in Manchester

More than 90 Labour backbench Members of Parliament have warned that Prime Minister Andy Burnham's plan to rebuild Britain's industrial base will fail unless it is directed from his new Manchester outpost, No 10 North. The group submitted a briefing paper stating that the government currently lacks the internal capacity and detailed industry knowledge required to execute such a strategy effectively.

The paper criticises the state for becoming less knowledgeable about the economy and slower to make decisions due to years of deregulation. It argues that without a formal legal framework, the administration will struggle to plan comprehensively. The MPs are calling for a Reindustrialisation Act that would set specific targets for job creation in manufacturing and hold ministers accountable for meeting them.

The group proposes that First Secretary Louise Haigh should oversee the initiative from No 10 North. Burnham established that Manchester office in July, and it already handles parts of the government's growth policy. The backbenchers further recommend transforming the National Wealth Fund into a Reindustrialisation Development Corporation. This new body would focus primarily on providing capital to rebuild UK industry rather than investing in promising businesses broadly.

Andy MacNae, the MP for Rossendale and Darwen who chairs the group, said there is no doubt about the commitment of Burnham or Chancellor John Healey. However, he identified a persistent inertia within the civil service and economic orthodoxy that treats growth policy as something only for cities that are already thriving. MacNae stated that reindustrialisation must instead deliver jobs to areas that need them most and produce goods that provide national resilience.

Healey, who is scheduled to deliver his first budget on Wednesday, promised a new age of industrialisation during his speech at Labour's conference last month. He framed this effort as central to the party's promise of good growth in every postcode. The party's industrial strategy, published while Keir Starmer was prime minister, identified eight sectors for growth, including advanced manufacturing, clean energy, and defence.

Steve Yemm, MP for Mansfield, noted that countries worldwide are reindustrialising, yet many in Whitehall still view industrial policy as dangerous nostalgia. He called for the prime minister's full backing to challenge those assumptions. Lorraine Beavers, MP for Blackpool North and Fleetwood, expressed enthusiasm for the potential impact on her constituency but warned that Whitehall does not fix problems unless explicitly told to do so. The group points to the government's recent decision to nationalise British Steel as an example of the wide range of policy areas, from procurement to education, that must be coordinated.