New Cabinet: Reshuffle rather than revolution

The new Prime Minister Andy Burnham announced the Cabinet and other ministerial posts this week. As he stood outside Downing Street for the first time, he spoke about providing a ‘circuit breaker’ in British politics, and delivering a ‘new political model and a new economic model’. He certainly can’t be accused of a lack of ambition. 

What’s striking though is how few ‘new’ faces now sit around the Cabinet table, at least at the most senior level. There is a bit more change amongst junior ministers, but many have also remained in post. On balance, despite some new faces, this Cabinet looks more like a substantial reshuffle rather than a revolution. Several cabinet ministers who resigned as Sir Keir Starmer’s authority ebbed away are now back in, but in different posts, as well as others who resigned earlier in his tenure for other reasons.  

Will a new communications style cut through? 

Perhaps the revolution will come in the form of priorities rather than personnel? In terms of communications rather than curriculum vitae? Burnham’s earliest announcements certainly seem to signal a new comms approach: more tempo, less formality, clearer messages. There seems to be a clear intention to cut through the Westminster political media filter and grab the attention of everyday people living in a culture of relentless information overload. 

Two of his first announcements will have certainly pricked the ears of many in the voluntary sector. On his first day, he pledged ‘to end rough sleeping’, and said that a package of measures to help with the cost of living would be forthcoming. The first of the cost-of-living measures, a cut to VAT on energy bills due to start in October, will not only give some help to millions of people struggling to pay their bills but should also help charities struggling with energy costs too. 

Three big questions on civil society policy  

It’s still early days, and there are many more questions than answers at this stage, especially when it comes to policy affecting civil society and the voluntary sector. Burnham seems to have a genuine understanding of the voluntary sector and its importance in what he wants to achieve, but the same could also be said of his predecessor. The proof will be in how he chooses to prioritise and support civil society in delivering his reforms. For example:  

Civil Society policy

Lisa Nandy remains in her post as Culture Secretary, but with an expanded portfolio as the Department of Culture, Media and Skills (DCMS) takes back ‘digital’ policy from the Department for Digital, Science and Technology (DSIT) which has been abolished. Her brief is already crowded with big issues like the BBC, media regulation, and online safety. The Civil Society part of it is arguably way down the list of priorities. And at the time of writing, there was still no announcement about the Minister for Sport, Youth, Tourism and Civil Society post occupied by Stephanie Peacock (Civil Society typically being one of the last policy areas to be confirmed or changed at any reshuffle). 

If Burnham is serious about engaging charities, voluntary organisations, faith groups and social enterprises as genuine partners – as he seems to have been in Manchester – where’s the power base to drive this through? How will the Civil Society Covenant fit in and what will he do to give it a boost? 

Devolution policy

A central part of Burnham’s vision to build ‘a new political and economic model’ involves devolving more power to local areas, as a means to reform political decision-making and accountability and drive economic growth. At the central level, this policy has historically been with the Ministry for Housing, Communities and Local Government (MHCLG), which, like DCMS, is an underpowered department that has seen steady disinvestment over the years. 

Angela Rayner has the housing brief, which is also central to Burnham’s agenda. But reportedly the devolution bit will be handled by the ‘Number 10 of the North’ based in Manchester and the Cabinet Office. It will be important for the voluntary sector to understand and track how this develops moving forward, because it could radically change how we engage and influence policy-making across the board, at both local and national level. 

Social Impact Economy

Much work behind the scenes has been going on regarding the social impact economy, a catch-all term involving social enterprise, socially responsible business, philanthropy and charity. It’s essentially about economic activity that has a social purpose, rather than just for profit. Darren Jones, a staunch ally of Keir Starmer, was the main proponent of this work at the centre of government, but he was sacked in the reshuffle. The Office for the Impact Economy has now reportedly been moved to DCMS. Will it have the same influence and reach there?

Stay tuned and look out for opportunities to influence 

Andy Burnham’s administration has only just got going and there will be much more news to come over the coming weeks and months. Charities should be thinking about what these changes could mean for their work locally and nationally, and where they may need to make their voices heard. DSC will monitor and analyse the key policy developments that affect charities and we’ll keep you updated whenever possible, so stay tuned!