Starmer resigns: Burnham and the UK crypto agenda

Prime Minister Keir Starmer has resigned amid pressure within the Labour Party. Andy Burnham, former Mayor of Greater Manchester and MP for Makerfield, has emerged as a leading candidate and has publicly expressed support for Web3 and blockchain technology.

During Starmer’s time in office, the government placed a moratorium on cryptocurrency donations to political campaigns after an independent review found that the pseudonymous nature of crypto posed risks to transparency and could allow foreign influence in political financing. The administration pursued a cautious regulatory path on digital assets, including work on a Financial Conduct Authority framework for crypto firms and proposals for stablecoin regulation.

Burnham has not published a detailed national digital assets policy. His public remarks on crypto have focused on local economic development and technology-led growth rather than specific national rules. As Manchester mayor from 2017, he promoted a strategy he called “Manchesterism,” which prioritized devolution, regional control and public-private partnerships.

At a city event, Burnham said “I’m bought in” and pledged to “make Manchester the Web3 powerhouse that we want it to be.” Those comments reflect his record as mayor and his interest in using digital technology to create jobs and attract investment.

Industry figures offered mixed assessments of how his background might translate to national policy. Nick Jones, founder and CEO of digital-asset platform Zumo, said Burnham’s pro-crypto remarks have been shaped by his mayoral role and parallels between Manchester’s industrial history and potential Web3 growth. Benoit Marzouk, CEO of GBP stablecoin tGBP, argued that Burnham’s time outside Westminster could help push practical policies across the UK. Tom Rhodes, chief legal officer at stablecoin issuer Agant, said he does not expect the next prime minister to interfere with the existing regulatory process, noting that regulators remain independent and several rules are near finalisation.

The donation moratorium followed recommendations by the independent reviewer Philip Rycroft, who concluded that limitations were needed because crypto’s pseudonymity created risks for political transparency. Any attempt to reverse that policy would face scrutiny within Labour and wider political debate over party funding. Opposition parties have received large donations from overseas backers, and a leading opposition figure is under investigation over an undisclosed £5 million gift, matters that have shaped the funding debate.

Observers say a new leader would likely focus on completing current regulatory work and on pilot programmes rather than on immediate deregulation. Industry success in a first year under a new prime minister would include a finalised stablecoin framework, government pilot projects using GBP-denominated stablecoins and continued tokenisation initiatives. A change of leadership could also slow progress if a cabinet reshuffle replaces ministers familiar with the evolving regime.

Starmer has said he would like nominations for his successor to open on July 9. Parliament is expected to go on summer recess roughly a week later. The new leader must win more than half the votes cast among MPs; if no candidate reaches that threshold, ballots are recast by preference.