Buckingham Palace announced today (Monday) that King Charles III of Britain has appointed Andy Burnham as Prime Minister, after Keir Starmer formally submitted his resignation.

A statement from the palace said: 'The Honourable Andrew Burnham accepted His Majesty's offer, and kissed hands upon his appointment as Prime Minister,' adding that the King asked him to form the next government, according to the AFP news agency.

Burnham thus becomes Britain's seventh Prime Minister in a decade, vowing to 'reset' the country's course to focus more clearly on issues that matter to citizens, such as the cost-of-living crisis and deteriorating services.

Burnham's assumption of the premiership marks the beginning of the arduous task for the 56-year-old politician, who earned the nickname 'King of the North' during his tenure as Mayor of Greater Manchester.

King Charles III of Britain stands with incoming British Prime Minister Andy Burnham during a meeting at Buckingham Palace in London (AFP)

Once he announces his cabinet, which has already sparked much controversy within the ruling Labour Party, he will face a long list of problems, including poor performance of public utilities and weak economic growth.

Ten-year plan for Britain

Andy Burnham pledged on Monday to deliver a ten-year plan for Britain as he took over the government from Keir Starmer, stressing the need to restore political stability.

In his first speech after being tasked by King Charles III to form the new government, Burnham said: 'Britain must show the world that we can restore our stability once again,' vowing that 'my first directive will be to end rough sleeping in our country.'

Setting the government's course

On Friday, Burnham described his election as Labour leader as 'the most important moment of change in our politics for 40 years.'

He pledged radical change to the political system in order to quickly raise living standards and help a country hungry for change become a place 'where life is easier.'

Burnham's first challenge will be to appoint his ministerial team, especially the finance minister, after disagreements over this critical file brought down previous administrations.

Lucy Powell, Labour's deputy leader and Burnham ally, told Sky News: 'He wants to refocus government resources and reprioritize, directing the government's attention to his priorities of tackling cost of living, resetting the country's and economy's course.'