Burnham VAT Cut Draws Jones Criticism

Andy Burnham’s VAT cut on electricity bills drew swift criticism from Darren Jones, who said the plan was unfunded and needs to be paid for.

Andy Burnham’s VAT cut on electricity bills is facing early fire from a former top aide to Sir Keir Starmer. Darren Jones, who until recently served as chief secretary to the prime minister, questioned the funding for the measure within hours of Burnham’s first full day in office.

Burnham has promised to cut VAT from household electricity bills from 1 October. Jones responded on X by calling the move good news for families, saying it could help them save money and keep inflation a little lower. But he added that the Digital ID program had been unfunded and said the government would need to explain how it would pay for its new policies at the budget.

Jones’s remarks were striking because they echoed a criticism that had previously been directed at the Starmer government. The source notes that the Office for Budget Responsibility’s Economic and Fiscal Outlook from November last year raised questions about Digital ID funding, including references to the cost of digital ID cards and the lack of explicit provision for their annual cost. The report said no specific funding had been identified.

The political fallout comes just as Burnham begins assembling his new team. He is due to gather his cabinet at lunchtime after what was described as a late-night round of appointments inside Downing Street. The source says a minibus full of ministerial hopefuls was still waiting late on Monday night for confirmations.

Among the later appointments was Wes Streeting, who has taken the role of defence secretary. The reshuffle also included a sharp reduction in the number of ministers closely tied to Starmer, with Darren Jones, David Lammy, Peter Kyle, Lord Hermer, Steve Reed and Rachel Reeves among those named in the report. Reeves was said to have been offered a cabinet post but turned it down. The big test now is whether these sidelined Starmer allies keep speaking out as Burnham sets out his agenda. The key issue for voters is simple: they want to know how new promises will be paid for.

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