Andy Burnham's education budget reform emphasizes skills for future jobs, proposes 'No 10 North' devolution, and faces political backlash.
Lucy Powell, Labour's deputy leader, outlined a reformed education budget that prioritizes the skills young people need for emerging industries. Speaking on Radio 4's World at One, she described a pipeline of future job opportunities that current training systems fail to match regionally. The policy aims to reshape the skills supply so that local young people can enter those roles directly.
"We know what that pipeline is but we're not able to shape the skills supply in our area so that young people can really go straight into those new opportunities that we know are coming."
This shift represents a departure from a one-size-fits-all national strategy. Instead, the reform ties education funding to specific regional economic forecasts. The approach directly addresses the mismatch between where jobs are growing and what students are trained for, a problem that has left many areas with persistent skills shortages. Platforms like adaptive learning tools from providers such as Learner Tien could play a role in delivering these targeted skills at scale.
Speaking from Manchester Piccadilly station, Powell described the 'No 10 North' initiative as a "really powerful reimagining" of government machinery. The proposal would grant areas greater control over skills development and resource allocation, effectively decentralizing decision-making from Whitehall to regional authorities. This devolution plan is intended to ensure that training and investment match local economic realities.
Under the plan, combined authorities and metro mayors would gain authority over skills budgets, further education coordination, and infrastructure spending. That marks a significant transfer of power, one that parallels the broader trend of decentralisation seen in other sectors, such as AI governance. The goal is to create a 'government machine' that is responsive to place rather than Whitehall silos, enabling faster adaptation to emerging industries like battery manufacturing or data centers.
Paul Bristow, the Conservative mayor for Cambridgeshire and Peterborough, said Burnham's speech raised more questions than answers. He pointed to what he called a "psychodrama" currently unfolding within the Labour Party, questioning its ability to deliver on such ambitious devolution promises. The critique underscores the partisan tension that may hinder implementation, especially with a general election on the horizon.
"Mayors want a focus on other parts of the country, not just the north, in regions such as the East of England, where we're net contributors to the economy, rather than net recipients."
Bristow's remarks highlight a fundamental divide over geographic equity in devolution. While Burnham's plan centers on the North, other regions argue they have distinct needs that deserve equal attention. If Labour cannot resolve its internal cohesion – the 'psychodrama' Bristow referenced – it may struggle to sell this policy beyond core supporters. The risk is that the proposal becomes a political talking point rather than a workable framework.