Source: Sharecast
In a lengthy and at times emotional speech at the Labour Party conference, which was punctuated by standing ovations, the prime minister also vowed to build more council houses, address the UK’s long-term relationship with the European Union and take greater control of public services.
He told delegates: “Change will be difficult but I know we can do it, because we did it before. In 1945 we built the peace. We gave Britain hope again. We built the common good – or at least we did until the 1980s.”
Unveiling plans for a national care service, which he said would be introduced in the next Parliament, Burnham confirmed it would be free at the point of use. “In 1945 we had the Beveridge Report,” he said. “We need something similar now – a new social contract for the 21st century.”
There had been widespread speculation that the system would be funded by scrapping the pension triple lock. Announced in 2010, the mechanism means that the state pension rises every year by whichever is highest: CPI inflation, average earnings or 2.5%. No other benefit rises by the same mechanism or amount.
Burnham said he would honour the party’s manifesto pledge to keep the triple lock in this Parliament, but that from April 2030, pensions would rise either in line with prices or by 2.5%. He insisted pensioners would “always share in the rising prosperity of the nation”, but acknowledged he may pay “the political price” for the decision.
Earlier in the day, Unite head Sharon Graham claimed scrapping the triple lock would be “electoral insanity”.
Burnham was also highly critical of the water companies, though he stopped short of committing to full renationalisation. But he confirmed that a new bill would be laid before Parliament repealing a ban on public ownership. “It will start a ten-year journey to a very different water system.” He also confirmed a state-owned business, Great British Grid, would be established to invest in the electricity network and help lower bills.
Turning to the electoral system, Burnham acknowledged he was the seventh prime minister in ten years, and warned the “political turbulence” of recent years could not continue. “Westminster prizes point scoring over problem solving and that is why so many things have gone unfixed for so long,” he said.
Announcing a new national commission on electoral reform, which he invited all parties to take part in, he said: “We will contest the next election with a commitment to change the election system so that everyone’s voice counts, and everyone is heard.”
Burnham finished the lengthy speech, which saw him make jokes about buses and football and was delivered as he paced the stage, by paying tribute to his father, who died earlier this month.
He concluded: “Britain is not perfect, it can be better, and we will make it so. But it still stands for something…worth fighting for. [I will be the] first PM to make a break with politics as usual.
“1945, 1964, 1997, now – all moments of Labour governments, all moments that saw Britain restore hope.
“All together now, we can do it, we will believe again, we will hope again.”
Both the gilt market and cable held largely steady during the speech.