Updated
Updated · bbc.co.uk · Jul 21
Darren Jones Questions Funding for Burnham's 0.6 Billion Pound VAT Cut as Labour Rifts Reopen
Updated
Updated · bbc.co.uk · Jul 21

Darren Jones Questions Funding for Burnham's 0.6 Billion Pound VAT Cut as Labour Rifts Reopen

3 articles · Updated · bbc.co.uk · Jul 21

Summary

  • Hours after Andy Burnham pledged to cut VAT on household electricity bills from 1 October, former Downing Street ally Darren Jones said the government must explain how it will fund the policy at the budget.
  • Jones backed the tax cut in principle but argued Labour's Digital ID plan was already unfunded, reviving scrutiny of whether Burnham can match his promise to show "how we pay for" new measures.
  • The Office for Budget Responsibility's November outlook had already flagged Digital ID funding gaps, including no explicit provision for its 0.6 billion pound annual cost.
  • The criticism lands on Burnham's first full day as prime minister, just after a reshuffle that removed several ministers tied to Keir Starmer and despite Burnham's call to end Labour factionalism.

Insights

How can scrapping an unfunded ID scheme pay for an £850 million tax cut?
Is a sacked minister's tweet the first shot in a new Labour civil war?