Economist Warns Burnham Must Prove He Is More Than 'Tax and Spend Socialist' to Reassure Markets

A former chief economist at the Bank of England has said that Andy Burnham, the Greater Manchester mayor and a prominent figure within the Labour Party, needs to demonstrate to financial markets that he is capable of cutting spending, rather than being perceived merely as a "tax and spend socialist with better TikTok", according to the Guardian's UK politics live blog.

The comment, attributed to the unnamed former Bank of England economist, comes amid ongoing scrutiny of Labour figures and their economic credibility, as speculation continues around the party's leadership and policy direction.

Separately, Wes Streeting, the defence secretary, used social media on Tuesday to defend continued investment in defence spending ahead of a scheduled meeting between Burnham and NATO secretary general Mark Rutte. In his post, Streeting invoked the words of former Labour chancellor Denis Healey, warning that cutting defence expenditure to the point where national security is imperilled would leave the country without adequate housing, hospitals or schools.

Streeting said the United Kingdom, alongside its NATO allies, was "leading the push back against Russia's dangerous and reckless campaign" and that the alliance would continue to strengthen its ability to deter and defend all member states against any threat. He added that NATO "will not be intimidated by Russia's campaign of hostile actions" and argued that Russian efforts to halt Western support for Ukraine would instead prompt allies to increase their assistance.

Streeting also referenced what he described as "NATO 3.0", characterising it as an effort to keep the alliance transatlantic while becoming more European, with Europe and Canada spending more, producing more and doing more for their own security.

The remarks come amid broader coverage of developments within the Labour Party, including discussion of Burnham's political positioning, according to the Guardian's live политics coverage, which also referenced Lisa Nandy in its reporting context.