Labour’s brighter mood faces a Budget test

As Andy Burnham prepares to address Labour’s conference, Chancellor John Healey faces decisions on a Budget due in about a month. In a BBC column published on 26 September 2026, Laura Kuenssberg says conversations with MPs, ministers and advisers suggest the party is much happier than it was a year ago, with little appetite among those she spoke to for challenging its leader. [1]

An unnamed cabinet minister attributes the improved mood to greater personal liking for Burnham than for his predecessor, Keir Starmer. Another senior figure calls it a “Burnham bounce” in both polls and party meetings. A minister praises clearer decisions from Downing Street, while another government source cautions that a new administration can seem more hopeful than one nearing its end. [1]

A well-connected senior figure describes the potential Budget choice as “10 billion of cuts or 10 billion of tax rises”, but Treasury sources say they do not recognise that simple figure. Kuenssberg also cites predictions that annual energy bills could rise by £500 early next year. [1]