LONDON — Prime Minister Andy Burnham has begun forming his new government, announcing the first wave of Cabinet appointments as he seeks to deliver a fresh political agenda focused on economic growth, stronger public services and restoring confidence in government.

One of the most closely watched decisions is the appointment of the Chancellor, with senior figures expected to take responsibility for managing public finances at a time of slowing economic growth and continued pressure on government spending. Financial markets have been closely monitoring the selection, viewing it as an early signal of the administration's fiscal priorities.

Burnham has said his government will move quickly to address the cost-of-living challenge, improve public services and reform underperforming sectors, while maintaining economic stability. His administration has also indicated that further policy announcements will follow as ministers begin work across Whitehall.

Political analysts say the composition of the new Cabinet will play a crucial role in shaping the government's direction, particularly on taxation, investment, infrastructure and public sector reform. Businesses and investors are expected to watch closely for the government's first major economic and legislative announcements.

The new administration is expected to outline additional policy priorities later this week as Parliament prepares for a new phase under Britain's latest Prime Minister.