Prime minister says room for manoeuvre was limited by geopolitical crises and Labour’s 2024 manifesto

Andy Burnham has admitted his first budget as prime minister was not as radical as he would have liked because of the economic uncertainty facing the country.

He said he would have liked to have gone further with this week’s announcement – including with higher energy support payments – but felt hemmed in by external events such as the war in Iran, which has pushed up borrowing costs.

Kirsty McNeill reaffirms Labour’s 0.7% of GDP pledge and promises value for money to allay voter concerns

The development minister, Kirsty McNeill, has declared herself “a huge believer in aid”, as she reaffirmed Labour’s manifesto pledge to return to a target of 0.7% of national income spending.

McNeill, a former adviser to Gordon Brown and senior executive at Save the Children, declined to give any timetable, repeating the formula that the government would work towards the target “when fiscal circumstances allow”.

Party manifesto pledged to honour existing North Sea exploration licences but not issue new ones

Andy Burnham risks his first confrontation with Labour MPs if he announces new oil and gas drilling licences when he becomes prime minister, insiders have warned.

Speculation is rife that Burnham will announce some new plans for drilling in the North Sea after he is installed in Downing Street on Monday.