Trade unions have reportedly stepped up threats of strike action over public sector pay following Andy Burnham's arrival in a senior government role, seeking to press their case for improved pay deals. The move comes as new figures indicate that public sector salaries are already rising faster than those in the private sector, a finding likely to complicate union demands for further above-inflation increases and to fuel debate over the affordability of public spending commitments.

The wider context includes Burnham telling Cabinet colleagues that any new policies must be properly funded, shortly after unveiling an £850 million energy bills support package that has yet to be fully costed. This juxtaposition of unfunded spending pledges and union pressure for pay rises highlights the fiscal tensions facing the new administration, with critics likely to question how further concessions to public sector workers could be reconciled with calls for spending discipline.