Andy Burnham pledges biggest council housing building programme since post-war period

Andy Burnham has committed to an overhaul of the British state in his first major address to the nation, signalling a “laser-like focus on good growth and regeneration”, devolution and a “housing first” philosophy.  

 

On Monday, the former Greater Manchester mayor used his address at The People’s Museum, Manchester, to argue that the current state of the housing market is having a “ruinous impact” on public finances. 

 

In the speech, Burnham set out his vision for Number 10 North, an extension of the prime minister’s office based in Manchester, which he says will be responsible for delivering the “regeneration of places” including the “biggest council house building programme since the post-war period” using “vacant public land to reduce costs.”

 

Number 10 North will also be responsible for the "reindustrialisation" of towns and cities and the reform of essential utilities. 

 

Britain has lost 1.5 million council homes since the 1980s and around the same number of people remain on housing waiting lists, creating a “housing trap” where the private-rented sector is funded through a benefits system, he told his audience. 

 

 

In order to rectify this, Burnham is looking to repair existing public housing stock and build new council homes. 

 

Burnham said he would be drawing on the Finnish “housing first” model of reform. The Developer reported in 2022 that the Nordic nation’s successful policy to eradicate homelessness was due to a policy focused on immediate permanent housing for homeless people, as opposed to a temporary, transitional accommodation system, saving the state 15,000 euros in social costs each year. 

 

The Finnish policy, which included the construction of new homes, the purchase of existing properties and the dismantling of the temporary shelter system as delivered through mayors, housebuilding NGOs and the state, not only garnered political consensus amongst the coalition government, but amongst the public, particularly younger citizens.

 

In the spirit of Manchesterism, Burnham’s model for a national programme also draws on work begun as mayor, where he launched the Housing First Unit in 2024 to study and ultimately end the housing crisis. The group’s research found that Greater Manchester’s ten councils were spending at least £75m a year on temporary accommodation. 

 

In November 2025, GMCA councils began tackling the supply of temporary accommodation through the GM Empty Homes and Leasing Programme, which includes funding to employ empty home officers and to bring 400 homes back into use as temporary or settled accommodation. 

 

This “decisive shift” in strategy to focus on housing provision is designed to create a more “preventative state”, a mantra Burnham and his allies in the Mainstream faction have woven into their pro-nationalisation policy platform. 

 

The goal of a “preventative state” is to take people out of welfare and into work. In late June, a policy paper released by the group titled “The Productive State - A Framework for Manchesterism” highlighted that the government should take greater steps to intervene in the market to achieve its aims. 

“Everything starts with a good home,” said Burnham.

 

Burnham’s speech comes days after reports that the current Housing Minister Steve Reed is working on plans to create a state-owned housing developer that would borrow at lower rates than private developers. 

 

Labour MP for Norwich South Clive Lewis, an outspoken Mainstream member that has continuously backed Burnham’s leadership bids, tweeted in support over the weekend announcements, saying that whilst the devil was in the details, “this is what the productive state looks like: socialising the profits, not just the losses.” 

 

Other policy suggestions indicated by Burnham on Monday include greater regional powers to local authorities to dictate housebuilding and education targets, commitment to industrial commercial clusters to boost productivity, and greater collaboration between government departments to make projects go faster. 

 

Burnham’s speech has received praise from former frontbenchers like Wes Streeting, once a contender for the Labour leadership race triggered by Keir Starmer’s resignation.