How Miliband’s ‘green agenda’ could boost his chancellor bid – or cost him the job

IToday is just a week away from the opening of nominations for the next Labor leader, marking the first step in Sir Keir Starmer’s long-overdue journey out of Number 10.

It is stated that Andy Burnham, the former mayor of Manchester, will most likely run unopposed as he is the only MP with the necessary support and will almost certainly be crowned the next prime minister of England.

Many changes, including new faces in government, are expected to follow as Mr Burnham weighs options for his new cabinet. She is expected to replace Chancellor Rachel Reeves as part of the transition, leading to speculation about who could replace her in No 11.

And the frontrunner was former Labor Party leader Ed Miliband.

The energy minister is thought to be a key ally of the former Manchester mayor and a particular favorite of the “soft left” of the party of which they are both thought to be a part.

But what is perhaps most in Mr Miliband’s favor is his policy alignment with Mr Burnham.

Mr. Burnham spent months pursuing government plans before even arriving at Makerfield. His speeches focused on a plan for greater public control over public services, with a vision for England often referred to as ‘Manchesterism’, and the devolution of greater authority over these services to regions and cities.

It is a project that Mr Miliband has already tested during his time as energy minister and is flagged by state-owned energy investment company ‘Great British Energy’, which was launched last year. The company enables the government to exercise greater oversight over private sector investments, aiming to serve both parties in the pursuit of clean energy.

Laurie Laybourn, chief executive of the Strategic Climate Risks Initiative, explains: “GB Energy is also focusing on communities, so you have a situation where communities can build and own their own renewable energy assets.

“This is an alternative to a failed large-scale, centralized and privatized world, a world where large private companies promote renewable energy at scale, but local communities do what they need and feel like it’s their own, and that’s really important in terms of how you get energy security.”

“So we see elements of the Miliband agenda that are compatible with the Burnham agenda,” he added.

For the past two years, Mr Miliband has focused on pursuing a green agenda under his chairmanship of the Department for Energy Security and Net Zero (DESNZ), aimed at improving the UK’s clean energy capacity and resilience to shocks such as the Iran or Ukraine wars.

Mr Laybourne says this is “the right approach”: “[especially] If you care about the security of our energy and our independence.”

But Mr Miliband is not without his opponents. Union bosses have previously spoken out against the energy minister’s net zero move, arguing it puts jobs at risk, particularly in the North Sea.

In May Unite general secretary Sharon Graham warned that workers in fossil fuel industries risked becoming “our generation’s coal miners” if new North Sea licenses were banned without a plan to save jobs.

Meanwhile, investors have warned that Mr Miliband’s push for more public investment and control could lead to higher government borrowing and a negative reaction from bond markets.

Nigel Green, chief executive of global financial consultancy group deVere Group, said last week that as chancellor there were “few potential appointments that could attract greater scrutiny in financial markets” than Mr Miliband.

“His views and instincts are well known. Investors will immediately begin to ask what his arrival means for taxation, investment and economic growth.”

Addressing critics last month, Mr Miliband said: “I am proud to have led a pro-business, pro-growth department over the last two years.

“This success did not happen by chance, but because of clarity of mission, government investment, and unhindered construction. As we have shown with energy, in difficult times progressive government needs partnership with business to secure economic growth built on an active industrial strategy.”

“This is just the beginning of what we want to achieve,” he added.

A new YouGov poll shows that a majority of MPs and wider public support also support the economic policies advocated by Miliband. Independent revealed.

The survey, commissioned by the Invest in Britain campaign, found that 76 per cent of MPs were in favor of increasing investment, such as investing in infrastructure, skills and energy security, to improve the UK economy’s ability to withstand shocks.

Almost four-fifths (78 per cent) of Labor MPs and 58 per cent of Conservative MPs agreed with the intent of the policy, according to the poll conducted before the local elections in May.

A separate YouGov poll found that close to two-thirds (62 per cent) of the public support increasing investment to boost the resilience of the UK economy.

Louis Willis, director of Invest in Britain, said: “At a time of political drama and economic uncertainty, these findings show voters and politicians alike are becoming aware of the need for greater long-term investment to protect the UK economy from future shocks.

“Clean energy investment is a top priority to break the UK’s dependence on volatile fossil fuel markets. The next chancellor, whoever he is, should keep this message in mind.”

Whether Mr Miliband secures his Treasury position will depend on how Mr Burnham decides to balance his cabinet. It is understood that important figures from the right wing of the party, especially senior minister Darren Jones and former Health Minister Wes Streeting, are also keen on this position.

Whom Mr Burnham chooses to run the Treasury will be the clearest sign yet of his vision for Britain’s future.