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Andy Burnham Refuses to Rule Out Tax Rises for Upcoming Autumn Budget

Andy Burnham has stated that he will not be unrealistic regarding the challenging state of public finances as the UK prepares for the upcoming autumn Budget. During a visit to Ukraine, the Prime Minister acknowledged that while he intends to provide relief for the cost of living, any new spending packages must be fully funded to avoid unnecessary risks to household finances and jobs. Economists have warned that Chancellor John Healey faces limited capacity for new spending pledges due to a spike in borrowing costs and energy price shocks caused by the US-Iran war. Official figures from July revealed a surprise deficit and higher than expected borrowing, despite record income tax receipts. Burnham defended his initial cost of living measures, such as capping bus fares and cutting VAT on household electricity, as achievable through reprioritizing existing funds. He emphasized a careful, disciplined approach to fiscal management, citing his previous experience running Greater Manchester. He noted that while tax rises are likely, he aims to ensure every action is carefully thought through to maintain fiscal stability.

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