Burnham finalising plans for government before becoming British prime minister on Monday

Andy Burnham will spend the weekend preparing to become British prime minister with allies saying he intends to make a “dynamic start” with measures to ease the cost-of-living squeeze.

The Labour leader will become prime minister on Monday but will begin the process of moving into Downing Street over the weekend.

He said he is still “finalising” his cabinet after feverish speculation in Westminster over his choice of chancellor, with allies on Labour’s left favouring Ed Miliband but reports suggesting Home Secretary Shabana Mahmood will get the crucial role.

Burnham said there had been “too much” speculation and he would announce his ministerial team on Monday.

“I am finalising those decisions, and I will come to conclusions very shortly, and then I will announce those on Monday,” he said.

In his first speech as Labour leader he said the party was facing its “last chance to change” but he promised to “bring back hope”.

He will become prime minister after Sir Keir Starmer visits Buckingham Palace to offer his resignation to the King on Monday.

Burnham will then see the King to “kiss hands” and be invited to take over as prime minister before getting the chance to set out his vision to the country from Downing Street.

He is expected to use the speech to set out plans to give people “breathing space” on the cost of living and highlight his core theme of devolving power from Whitehall to regions across the UK.

That devolution process will be driven from Burnham’s “No 10 North” in Manchester, which he is expected to visit during his first week in power.

Allies said Burnham will set out policies aimed at making people’s lives easier with a promise of delivering tangible change as soon as possible.

He has already begun to receive national security briefings ahead of his formal appointment and has talked to officials about his priorities in office and the first events he will go to as prime minister.