The Harsh Economic Lesson Andy Burnham Can't Afford to Ignore

Jan de Vries · 2026-07-24

When it comes to building a thriving economy, there's a tough truth that leaders often avoid: promises don't pay the bills. Andy Burnham, the Mayor of Greater Manchester, is learning this the hard way. Harry Margulies recently argued that Burnham must wake up to economic reality if the UK wants real, sustainable growth. It's a wake-up call that echoes far beyond British politics, especially for anyone watching European startup incorporation and the push for EU Inc. Think about it. You can have the best intentions in the world, but without a solid economic foundation, those intentions crumble. Burnham's situation is a perfect case study. He's been pushing for big changes, but Margulies says he's missing the point. The real lesson? You can't build a future on empty promises. ### The Carney Connection: Why It Matters Mark Carney, the former Bank of England governor, knows a thing or two about hard economic truths. His biggest lesson? That economic reality always wins. You can't wish away market forces or ignore the numbers. Carney learned that during the financial crisis, when he had to make tough calls that no one liked. Burnham needs to take that same approach. He's got ambitious plans for Greater Manchester, but they need to be grounded in reality. That means focusing on what actually drives growth, not just what sounds good in a speech. ### What This Means for European Startups Here's where it gets interesting for our audience. The same principle applies to the EU Inc proposal and European startup incorporation. Too many founders and policymakers get caught up in grand visions without thinking about the nuts and bolts. - **Regulation matters**: You can't ignore the legal framework. European startup incorporation needs clear, simple rules that actually work. - **Funding is key**: Without real investment, even the best ideas fail. The EU needs to make it easier for startups to access capital. - **Talent is everything**: If you can't attract and keep top talent, your startup won't grow. That means competitive salaries and a great work environment. The EU Inc proposal is supposed to fix some of these issues, but it won't work unless leaders learn from Carney's lesson. You have to prioritize economic reality over political promises. ### The Hardest Lesson: Growth Doesn't Happen by Accident Sustainable growth isn't something you can just declare. It comes from smart policies, hard work, and a willingness to make tough choices. Burnham could learn a lot from how successful startup ecosystems operate. Consider this: in the US, startup hubs like Silicon Valley didn't happen because of government mandates. They grew organically because the conditions were right. Great universities, venture capital, and a culture that rewards risk-taking. Europe has some of that, but it's fragmented. The EU Inc proposal aims to create a more unified market for startups, but it needs to be done right. That means listening to what founders actually need, not what politicians think they need. ### What Burnham Should Do Now So what's the takeaway for Burnham? And for anyone involved in European startup incorporation? First, get real about the numbers. Don't promise what you can't deliver. Second, focus on the fundamentals. That means infrastructure, education, and a business-friendly environment. Third, learn from the best. Look at what works in other places and adapt it to your local context. At the end of the day, the hardest lesson is also the simplest: economic reality doesn't care about your promises. It only cares about results. Burnham needs to figure that out, and so does anyone pushing for EU Inc. The post originally appeared on The European Magazine, but the message is universal. If you want to build something that lasts, you have to put reality first.