Summary of Key Points
The new Prime Minister of the UK, Andy Burnham (nicknamed “King of the North”), has been in office for a month and is promoting the largest decentralization of power in English history. He is transferring economic decision-making, fiscal revenue, and welfare management responsibilities from London to local authorities, particularly in the northern regions, in an attempt to address the issue of London’s dominance in absorbing national resources and the long-term decline of the north. His reforms are based on the successful experiences of Manchester but face challenges such as insufficient public support and weak capabilities of local governments.
I. Who is “King of the North,” and how did he become Prime Minister?
Burnham didn’t emerge out of nowhere. He was previously the Mayor of Greater Manchester and openly challenged the central government in London during the pandemic (for example, advocating for more resources for pandemic response efforts), which led to him being dubbed “King of the North” – a comparison to Ned Stark from “Game of Thrones,” who fought against the throne in the series. He was able to become Prime Minister because of his successful record in Manchester: he transformed the city during his tenure, and his reputation grew. When the Labour government fell last month, he took over the leadership of the party and moved into 10 Downing Street – although he didn’t go through an election, which could be a future risk.
II. What exactly is being decentralized?
Burnham’s actions over the past month are all aimed at “returning power to the local areas”:
1. Economic Decision-Making: The north now has its own version of “Downing Street.” A new office called “North Downing Street 10” has been established, where he meets at least once a week, and some economic departments have been moved from London to Manchester (with plans to hire 300 more civil servants by the end of next year). The National Economic Council has also been reactivated to allow the mayors of 13 regions to discuss national economic policies with cabinet ministers – previously, only officials in London made these decisions.
2. Fiscal Policy: Local governments can keep a portion of the taxes they collect. For the first time, mayors can retain a share of local personal income tax and more business tax revenue. For instance, Manchester doesn’t have to send all its tax revenues to London; it can use the money for local development projects – this is described as “the biggest transfer of power in generations.”
3. Welfare: Direct benefits for the people: On his first day in office, he announced measures to end street homelessness by allocating an additional £340 million; in October, a surcharge on electricity bills was abolished (equivalent to a price cut); and in January next year, the maximum fare for bus rides in England will be reduced from £3 to £2.
4. Local Control: A 20-year-old rule has been overturned: local councils can now refuse applications for casinos and e-cigarette stores. For example, the local council can stop a new casino from opening in the neighborhood – these are tangible changes that people can feel.
III. Why is decentralization necessary?
The UK is an exception among developed Western countries in terms of centralization; everything from the national budget to opening a shop on the street requires London’s approval. Burnham views this as the country’s biggest problem: “For forty years, power and wealth have been sucked into London, leaving many communities forgotten.” For example, between 2009 and 2023, London spent £1,183 per person per year on transportation, while the north only spent £486 per person per year – a difference of £140 billion, enough to build seven new Elizabeth Line trains in London. The HS2 high-speed train project was intended to connect Manchester but was canceled, despite being announced at a northern party conference, which felt like a betrayal. The north, once the birthplace of the Industrial Revolution, is now the poorest region. Burnham wants to break this cycle where London exploits the north.
IV. Can decentralization really improve local areas?
Burnham’s experience as Mayor of Manchester shows promising results:
- Urban Transformation: Manchester has seen significant changes; there are now countless skyscrapers instead of just one Beetham Tower, and bus services have been improved (tickets are now unified and cheaper).
- Economic Growth: Between 2015 and 2023, Manchester’s productivity increased by 42%, compared to an average of only 28% nationwide. The city also attracts more Chinese students (Manchester University has one of the largest Chinese student populations in the UK).
However, there are challenges: housing prices have risen rapidly, and some areas are still underdeveloped. Nevertheless, these successes provide Burnham with confidence that decentralization can work.
V. Can the reforms succeed?
Although Burnham has a majority in parliament (which should ensure his tenure until 2029), there is significant skepticism:
1. Insufficient Public Support: He became Prime Minister without an election, and nearly half of the UK population wants a new election; the populist Ukip party is watching him closely.
2. Are local areas ready to take on more power? Many local governments are financially struggling (for example, Birmingham went bankrupt in 2023 after having had its funding cut for over a decade). Suddenly being given more power and money could lead to chaos if they’re not prepared.
3. Will the funds actually reach the local areas? The Treasury is still based in London, so it’s uncertain whether local governments will receive the taxes they need and how much they will get. Critics argue that moving offices to the north is just for show; without the necessary funding, all efforts will be in vain.
Burnham’s response is that starting from 2028, local authorities will legally retain a portion of income tax. Decentralization is the “default option,” and the central government will need to provide a reason if it wants to retain power. However, whether the reforms will succeed ultimately depends on funding and the capabilities of local areas – the north has waited for too long, and this time, they only want to see results.
In Conclusion
Burnham aims to shift from a situation where London dominates everything to one where all regions are more autonomous. Manchester’s success gives him hope, but whether he can break centuries of centralization depends on his ability to turn theoretical powers into real benefits for the people. After all, the people in the north have been waiting for a long time.