Andy Burnham, the Mayor of Greater Manchester, is said to have consulted Sue Gray, the former Downing Street chief of staff, on how to manage the formation of a future Labour government — a move that underscores the growing seriousness of the leadership speculation swirling around him. The conversation, reported to have covered the practicalities of a transition into No 10, has been interpreted by senior party figures as a signal that Mr Burnham’s potential succession is being treated with genuine weight.
Lady Gray, now Baroness Gray of Tottenham, served as Sir Keir Starmer’s chief of staff from July to October 2024 after holding the same role for the then-leader of the opposition from 2023. She is best known for leading the inquiry into the “Partygate” scandal in December 2021, but her move from the civil service to a political post drew controversy, with a Cabinet Office probe later finding she had broken the civil service code. Her resignation from No 10 in October 2024 came after what she described as “intense commentary” around her role, amid reports of a power struggle with Morgan McSweeney, the prime minister’s chief adviser and her eventual successor. Concerns had also been raised that her salary of £170,000 was £3,000 more than that of the prime minister at the time. Following her departure, Lady Gray was appointed as the prime minister’s envoy for the regions and nations, though she ultimately did not take up the role.
Mr Burnham, who is widely seen as a potential challenger to Sir Keir’s leadership, is now standing in the Makerfield by-election on 18 June 2026. The contest was triggered by the resignation of Labour MP Josh Simons specifically to allow Mr Burnham to return to Parliament. If victorious, the Greater Manchester mayor would be required to resign his current post, prompting a separate mayoral by-election. He has formally launched his campaign, framing it as a “vote to change Labour” and calling for a new direction for British politics, including a proposal to dedicate a £39bn affordable housing fund solely to council homes. Polling suggests he would be the clear favourite in a future leadership contest: a YouGov poll indicated he would win 59% of the vote among Labour members, against Sir Keir’s 37%.
Deepening party divisions and pressure on Starmer
The leadership chatter has exposed deep splits within the Labour Party, throwing Sir Keir’s government into chaos. After disastrous local election results earlier this month, almost 100 of his own MPs are reported to have called for his resignation. The prime minister has insisted he will fight any official challenge, telling the public that “our plan is working” and that he intends to “keep pushing forward”.
A senior ally of Sir Keir, Chief Secretary to the Treasury Darren Jones, warned the party on Sunday against indulging in “fantasy politics” that would distract from the country’s real problems. Speaking on the BBC’s Sunday with Laura Kuenssberg, Mr Jones said: “There’s a lot of fantasy politics going on right now inside the Labour Party… in terms of who is up, who is down, who will be in what position.” He added that Britain is “poorer and weaker than it needs to be” and that there is “no magic answer” to the challenges the country faces. However, he did describe Mr Burnham as “a brilliant politician” and confirmed he would campaign for him in Makerfield. Notably, Mr Jones has also declined to definitively state whether Sir Keir would lead the party into the next general election.
The internal turmoil has been compounded by the resignation of Health Secretary Wes Streeting after days of intense speculation. Mr Streeting has openly talked about launching a campaign to oust Sir Keir and has declared his intention to stand in a leadership contest, advocating for the UK to eventually rejoin the European Union. A formal challenge would require the nomination of at least 20 per cent of Labour MPs — currently 81 — and Sir Keir has vowed to fight any such bid. The Makerfield constituency, which voted to leave the EU, also presents a difficult electoral test, with Reform UK having performed strongly in recent local elections there.
Allies of Mr Burnham have suggested he may not launch an immediate bid for the party leadership even if he wins the by-election, preferring to bide his time. Speaking to reporters on Friday, Mr Streeting said he had held off triggering a leadership race precisely to give Mr Burnham the space to tread a path back into the Commons. The former health secretary’s comments underscored the delicate choreography now unfolding behind the scenes as the party grapples with its most serious internal crisis since Sir Keir took the helm.
