Prime Minister Andy Burnham has assured the public that his forthcoming Autumn Budget, jointly presented with Chancellor John Healey on October 28, will not include increases to income tax, VAT, or National Insurance contributions. Speaking during his first foreign visit to Ukraine, Burnham emphasised his commitment to honouring the Labour manifesto pledges.
Addressing questions on LBC about potential tax rises, Burnham stated categorically, “No, it doesn’t mean that.” He explained that the government’s approach involves reprioritising existing funds rather than imposing additional taxes. By reallocating resources within current budgets, the administration aims to ease financial pressures facing households.
Burnham added, “I think the public would expect me to do that. Where I can help, where I can do something to take that little bit of pressure off, that is exactly what I will do.”
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Acknowledging the challenging economic climate, he stressed the government’s intention to act prudently, prioritising financial security for citizens. “We won’t take risks with people’s finances or their pensions or their homes, but we will at the same time try and help with the cost of living, the cost of the basics that people are finding expensive,” Burnham said.
The Prime Minister also highlighted concrete measures planned as part of the budget. These include removing VAT from electricity bills and reinstating the £2 cap on bus fares throughout 2027. He underscored that these actions are made possible through careful reprioritisation of government spending, noting that some projects, such as the digital ID programme, have been temporarily deferred.
Burnham reiterated his realistic outlook on the economy while affirming his commitment to managing public finances responsibly. He said, “We are working on that now and we’ll set it all out at the budget.”