Businesses back Labour – but they’re still undecided on Burnham

Britain’s business leaders appear to like the direction of travel but are still reserving judgment on the man behind the wheel. A new poll suggests that while Labour has established an early lead on the economy, trade, jobs and support for business, many employers remain unconvinced that Andy Burnham is the right person to lead the country. After years of political upheaval, rising costs and economic uncertainty, business owners are looking for something increasingly rare: stability. Warm words and ambitious promises may have won attention, but companies across the country now want evidence that the new government can deliver. For many, the next Budget could prove decisive.

BUSINESS SPLIT ON BURNHAM

New poll shows firms aren’t sold on the PM just yet. Labour leads on the economy but one in three business bosses still unsure if Andy Burnham has what it takes.

Photo by Christina @ wocintechchat.com M on Unsplash

UK businesses are split down the middle on whether Andy Burnham is up to the job of prime minister, a new Ipsos poll has revealed.

In a survey of more than 1,000 senior business leaders, carried out between 1st and 16th July, 31% said Burnham “has what it takes to be a good prime minister”. 31% disagreed and 31% couldn’t put their finger on it.

Mr. Burnham may have swept into No 10 promising a new era of regional power, apprenticeships, and support for small firms but business leaders clearly want to see more before they make up their minds. Understandable really. After years of low confidence because of all the uncertainty it’s stability that will give people the space to make up their minds.

Labour leads on business policy

Despite the mixed views on Burnham himself, Labour is comfortably ahead on the policies that matter most to business. Ipsos found Labour is seen as the party with the best policies on:

• Managing the economy: Labour 26%, Reform UK 21%, Conservatives 14%

• Britain’s businesses: Labour 27%, Reform UK 21%, Conservatives 16%

• People in work: Labour 29%, Reform UK 21%, Conservatives 14%

• Boosting international trade & investment: Labour 23%, Reform UK 20%, Conservatives 17%

Reform UK has surged into second place across all four areas which is a major blow to the Conservatives, who have slipped into third.

Ipsos says confidence among businesses has improved since the spring, with Labour widening its lead.

Business leaders are saying

Oliver Fenton of Ipsos says: “Confidence has improved. Labour has increased its lead as the party with the best policies for Britain’s businesses. But one in three remain unsure whether Burnham has what it takes to be a good prime minister.”

He added that support with energy costs and business taxes will be crucial if the PM wants to win over sceptical firms.

The regional agenda

Burnham’s big pitch to business is his regional growth agenda; devolving power, boosting local skills, and backing apprenticeships.

Ipsos says this approach appeals to many businesses, especially those outside London who feel ignored by Westminster. The firms polled want to see delivery, not just promises.

Businesses are hesitant

Business leaders are cautious for three reasons:

1. The economy is still fragile

High costs, weak demand and rising insolvencies mean firms are nervous about any major shift in policy.

2. Burnham is new to national leadership

He’s popular regionally but running the country is a different scale entirely.

3. Businesses want clarity on tax and energy

Until they see concrete plans, many will stay undecided and we won’t get any clarity until the next budget.

What next

To win over the business community, Burnham must:

• Provide clear timelines on tax and energy support

• Deliver on apprenticeships and skills reform

• Show he can manage the economy without shocks

• Prove his regional agenda can work nationally

• Build trust with small and micro businesses who feel overlooked

Businesses don’t want slogans; they want stability.

More to do

UK businesses like Labour’s policies but they’re not yet convinced about Andy Burnham himself. He’s got off to a strong start, with a clear agenda, and growing confidence behind him. However, with one in three business leaders still unsure, the new PM has work to do to prove he’s the right man to steer Britain through a tough economic environment.

If he delivers on energy costs, business taxes and skills, he could win them over. If not, that undecided third may stay undecided or decide to move along the political spectrum.