US President Donald Trump and newly appointed British Prime Minister Andy Burnham have held their first official phone conversation, using the call to discuss trade, defence cooperation and Britain’s energy strategy.
Among the most prominent issues was the future of North Sea oil production, with Trump once again encouraging the UK to expand offshore drilling rather than increase its dependence on renewable energy.
Following the conversation, Trump described the exchange as constructive and said both leaders had agreed to meet in person in the near future to continue discussions on shared priorities.
Trump Offers Encouragement to Britain’s New Leader
In a statement posted on Truth Social, Trump praised Burnham while acknowledging the scale of the task facing the new prime minister.
The US President said the conversation covered the long-standing relationship between the United States and the United Kingdom, as well as trade, military cooperation, the demining of the Strait of Hormuz and North Sea energy development.
Trump added that Washington would continue supporting Britain and wished Burnham success as he begins his premiership.
Political Rivals Set Aside Years of Public Criticism
The cordial tone of the call represents a dramatic change from the relationship the two men shared before Burnham entered Downing Street.
As Mayor of Greater Manchester, Burnham repeatedly criticized Trump, describing him as a divisive political figure and arguing in 2019 that a presidential visit to Manchester would unsettle communities and provoke unnecessary tensions.
After the Capitol riot in January 2021, Burnham also condemned British politicians who maintained close ties with Trump, later accusing the American president of contributing to global instability.
Trump responded to those remarks by dismissing Burnham as an “extremely liberal” politician and referring to him as merely the mayor of a town.
Manchester Invitation Signals Diplomatic Reset
Despite those earlier clashes, Burnham reportedly invited Trump to visit Manchester during Monday’s call, underlining a significant shift in their relationship.
The prime minister also informed Trump that Manchester will host the G20 summit in 2027 when the United Kingdom assumes the presidency of the international forum.
The invitation is particularly notable given Burnham’s previous insistence that Trump would not be welcome in the city while he served as mayor.
Energy Remains a Major Point of Agreement and Debate
North Sea oil featured prominently in the leaders’ discussion, reflecting Trump’s continued belief that Britain should expand domestic fossil fuel production.
Throughout recent years, Trump has repeatedly argued that the UK possesses significant untapped offshore energy resources and has criticized previous governments for prioritizing wind farms over oil and gas exploration.
His latest conversation with Burnham suggests he intends to continue pressing that position as the new British government shapes its energy agenda.
Burnham Faces Questions Over Domestic Energy Measures
While strengthening relations with Washington, Burnham is simultaneously confronting criticism over his first major economic policy.
His government has announced plans to remove the five percent VAT charged on household electricity bills from October, arguing the measure will help ease the cost-of-living burden for families.
Ministers estimate the change will reduce the average annual household bill by approximately £45 while making a modest contribution to lowering inflation.
The government says the policy will be financed by cancelling the Digital ID programme, which had been expected to cost around £1.8 billion over three years.
Funding Concerns Trigger Labour Backlash
The proposal has already drawn criticism from within Labour ranks.
Former Cabinet minister Darren Jones questioned the government’s funding explanation, arguing that no dedicated savings had previously been identified to finance the Digital ID programme.
He warned that Chancellor John Healey will ultimately need to explain how the government intends to pay for the electricity tax cut when the Budget is presented.
The criticism adds to broader concerns over Labour’s spending commitments, including plans for a large-scale council house construction programme and the creation of a national social care service.
Analysts Warn Rising Bills Could Offset Tax Savings
Economic experts have welcomed the reduction in VAT but cautioned that many households may see only limited financial relief.
Forecasts suggest Ofgem’s energy price cap could rise by around £60 from October, exceeding the estimated savings generated by the tax cut.
Analysts have also warned that renewed tensions involving Iran could place further upward pressure on global energy prices during the winter.
Consumer finance expert Martin Lewis noted that while the VAT reduction is positive, projected increases in wholesale energy costs could absorb most of the benefit, leaving many households with little noticeable improvement in their overall bills.
New Government Balances Diplomacy With Economic Challenges
The phone call with Trump came as Burnham continued assembling his new administration after replacing several ministers aligned with former Prime Minister Keir Starmer.
At the same time, the government is facing slowing private-sector wage growth, continued pressure on public finances and growing scrutiny over how it intends to fund its ambitious domestic programme.
As Burnham seeks to establish his leadership at home, his first conversation with Trump signals an effort to strengthen UK-US relations while navigating difficult economic and political challenges.
