New Prime Minister Andy Burnham has announced an immediate tax cut on electricity bills, reducing average household costs by £45 per year from October. The measure, announced on his first full day in office, removes VAT from electricity bills.
Immediate Action on Cost-of-Living
Burnham, who replaced Keir Starmer on Monday July 20, said he wanted to act straightaway to address the cost-of-living crisis, which voters identified as a major issue. “I said I wanted to give people breathing space, and that’s what I’m announcing on my second day as prime minister,” Burnham said in a statement. “We’re taking immediate action to cut taxes on energy bills, put more money in people’s pockets and bring back hope.”
New Chancellor Appointed
John Healey, former Defence Secretary, has been appointed as Burnham’s new Chancellor. He commented: “Today’s energy tax cut will give families some breathing room on bills, and provide some reassurance this winter.”
The move is part of Burnham’s pledge to deliver tangible benefits quickly after entering Number 10. He aims to demonstrate his commitment to tackling the cost-of-living issue, which dominated the recent election campaign.
