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News · 21 July 2026

Starmer ally questions funding for Burnham’s electricity VAT cut

Starmer ally questions funding for Burnham’s electricity VAT cut

Image by FellowNekocat on Freepik

New Prime Minister Andy Burnham has pledged to remove VAT from household electricity bills from October 1, saving families about £45 annually. Darren Jones, a former senior minister under Sir Keir Starmer, quickly questioned how the policy would be paid for. Jones stated that the Digital ID program, which Burnham said would fund the tax cut, was itself unfunded.

Reported by BBC · How we write briefs

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How can Burnham cut VAT? Has VAT been cut before? What is VAT and why cut it?

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