Miatta Fahnbulleh, a key adviser to Andy Burnham, has become central to his economic strategy, which adopts policies similar to those once promoted by Jeremy Corbyn.
Fahnbulleh, now the MP for Peckham, previously headed the New Economics Foundation. The think tank maintained that Corbyn’s 2019 manifesto addressed Britain’s economic and environmental issues effectively. She argued in an opinion piece that Labour should not abandon its ambitious plans despite the election loss. The party, she wrote, had identified the correct path forward.
The manifesto included nationalizing utilities, providing free broadband, and increasing spending by £135 billion—proposals voters rejected as unrealistic. Fahnbulleh, however, believed those measures would have transformed the economy.
As Burnham’s adviser, she now advances similar ideas. Journalists on the scene describe her as part of his inner circle, shaping a policy program focused on the cost of living, political reform, and devolution.
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One early priority resembles a Corbyn-era plan: bringing water companies under public control. Public frustration over sewage discharges and corporate profits makes the proposal appealing, though the estimated cost exceeds £100 billion.
Fahnbulleh’s economic approach, detailed in a 2020 essay, demands a major overhaul of capitalism. She supports an active but decentralized government, with policies like a Green New Deal to achieve net-zero emissions by 2030, free public transport, and universal childcare.
The annual cost of universal childcare alone would reach £17.8 billion, surpassing the Ministry of Justice’s budget. Free public transport would require another £30 billion, nearly half the defense budget.
She also proposes a “Living Income,” a universal basic income funded by higher taxes on wealth. Estimates suggest the program could cost between £70 billion and £200 billion, depending on its structure.
Additional ideas include mandatory worker ownership in companies, a four-day workweek, and requiring landowners to transfer property into community trusts. In her essay, she acknowledged the challenges but warned that time was short to reverse the effects of neoliberal policies.
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Burnham, expected to become prime minister soon, has indicated a departure from Labour’s current cautious fiscal approach. His team is exploring changes like aligning capital gains tax with income tax, relaxing borrowing rules, and increasing spending—moves that may concern financial markets.
Fahnbulleh’s role signals a revival of Corbyn-era policies, though with a stronger emphasis on local decision-making. Her vision involves shifting power not just to cities but directly to communities.
The last time Labour proposed such sweeping changes, the party suffered its worst electoral defeat in decades.
Retail bosses have warned that youth unemployment could worsen without urgent action.
