PM Burnham Hints at Potential Tax Hikes in Autumn Budget

Prime Minister Andy Burnham has indicated that tax rises are not off the table for the upcoming autumn Budget. Speaking about the "challenging" state of public finances, Burnham stated he "won't be unrealistic" about the economic landscape facing the country. This comes as experts warn that Burnham and his Chancellor, John Healey, will have very limited financial flexibility in their first Budget, scheduled for October 28.

Despite campaigning on promises to ease the cost of living, questions persist regarding the funding for significant policies like social care reforms. During a visit to Ukraine, Burnham defended earlier cost of living pledges, such as capping bus fares at £2 and cutting VAT on household electricity bills.

He explained these initiatives were possible by reprioritising funds from other areas, citing the decision to de-prioritise digital ID funding as an example. He emphasized that these were "the first steps that I've felt able to make." When pressed on whether the public should brace for tax increases to cover spending gaps, Burnham stated they wouldn't necessarily have to accept that outcome.

However, he also didn't explicitly rule it out.

He highlighted his decade-long experience running Greater Manchester with "rock solid finances," asserting that his approach as prime minister would remain careful.

Nothing will change as I come into this role as prime minister. I won't take risks with people's jobs or their livelihoods or their family finances,

he affirmed, reiterating his commitment to helping citizens in any way possible.

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