Prime Minister Andy Burnham has signalled that the £12,570 threshold for paying income tax may rise, potentially benefiting millions of taxpayers. He stressed that the issue was “lodged in my mind” after hearing it frequently during the Makerfield by-election.
Burnham Acknowledges Tax Threshold Freeze Impact
The freezing of income tax thresholds since 2022 has been a significant burden, particularly for those on lower incomes. Burnham told The Times: “So when people, they’re just characterising me as a tax raiser, well again it’s never that simplistic is it?” He added that the matter will be looked at in the Budget, despite the challenging financial circumstances.
If the personal allowance had increased in line with CPI, it would have risen from £12,570 to £17,380. Burnham noted: “It's difficult because changing the threshold is not without significant consequences. But I'm looking at it.”
International Calls Mark First Day in Office
Within an hour of taking office, Burnham spoke with US President Donald Trump, underscoring the importance of the UK-US partnership. The British embassy in Washington stated: “Within an hour of taking office, Prime Minister Andy Burnham… spoke with President Donald Trump, underscoring the importance of the UK/US partnership from day one. The leaders discussed shared priorities and agreed to remain in close contact.”
Burnham also spoke with French President Emmanuel Macron. A Downing Street spokeswoman said: “The Prime Minister began by setting out how he is looking forward to building on the strong UK-France relationship to deliver for people on both sides of the Channel. Turning to Ukraine, the two leaders discussed the need to work together to continue supporting Ukraine as it resists Russia’s full-scale invasion, including through co-chairing the Coalition of the Willing. On the Middle East, the two leaders agreed the need to continue efforts towards deescalation and to reopen the Strait of Hormuz. They also discussed continuing the UK and France’s close co-operation on energy and defence, and the Prime Minister paid tribute to President Macron for his efforts to bring the Bayeux Tapestry to the UK, which underlined the UK and France’s enduring friendship. The two leaders look forward to speaking again and the Prime Minister welcoming President Macron to the United Kingdom at the earliest opportunity.”
