Andy Burnham has become Prime Minister, but what does that mean for your building business? While he has promised to devolve power away from Westminster, build more council homes and end rough sleeping, he has so far provided relatively little detail about how his Government plans to achieve those goals.
Devolution looks set to be the defining theme
The Prime Minister has promised further announcements in the coming days and weeks, before setting out a ten-year plan for Britain later this year. For builders, this means the early signs are important, but the detail is still to come.
This is where small builders should have a strong role to play. SME firms are rooted in the communities they serve, employ local people, use local supply chains and build homes for local residents. If the Government wants to spread growth and opportunity to every part of the UK, local building firms should be natural partners in that mission.
Housing remains a top priority
Burnham's commitment to spread power and opportunity beyond Westminster could be significant for your business, especially if it leads to more decisions on housing, skills and local growth being made closer to the communities where you work.
His pledge to build more council homes is one of the few specific commitments made so far.
We have long argued that housing targets cannot be met by relying solely on volume housebuilders. A more diverse housing market is needed, with SME builders playing a greater role in delivering new homes, including social and affordable housing.
Angela Rayner's return brings continuity
Angela Rayner's return as Housing Secretary brings continuity. Having previously held the role, she already understands the challenges facing housing delivery, planning reform and local government, and we will look to continue our constructive working relationship with her.
The elevation of Housing Minister Matthew Pennycook to Cabinet is also a clear win for the FMB. We have long argued that housing needs a stronger voice at the heart of Government, calling for it to have a dedicated Cabinet position, and this decision will give housing a higher profile in the decisions that matter for builders.
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Retrofit remains firmly on the agenda
The appointment of Miatta Fahnbulleh MP as Secretary of State for Energy Security and Net Zero is significant for firms working in repair, maintenance and improvement. She has previously been a strong advocate for improving the energy efficiency of Britain's homes, suggesting retrofit will remain high on the agenda.
We will continue to press for long-term certainty, greater support for SME retrofit businesses and a licensing system that helps consumers identify competent, qualified firms.
Skills and small business support
Pat McFadden remaining Work and Pensions Secretary provides continuity for skills policy at a time when labour shortages continue to hold back housing, retrofit and growth. We will urge Government to ensure reforms work for the thousands of SMEs that train the majority of construction apprentices.
Jonathan Reynolds' move to the newly merged Department for Business, Innovation, Science and Trade is also worth watching. Responsibility for both Construction and small businesses sits within the department, meaning its decisions could affect the support, regulation and advice available to firms like yours.
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What should builders watch for next?
The biggest takeaway is that the Government's first announcements offer encouraging signals, but they are not yet a fully formed policy programme. There is reason to be cautiously optimistic, but builders now urgently need to see the substance behind the ambition.
As further details emerge, we will press Government for action on planning reform, housing delivery, skills, retrofit, licensing and support for SME builders. Andy Burnham's promised ten-year plan will be the first real test of whether his Government can turn broad commitments into practical policies that make a difference to construction firms, so we will be watching closely for updates.
