Andy Burnham said he is not making an immediate "commitment" to changing the tax-free personal allowance. The Aintree-born politician became Prime Minister on Monday, replacing Sir Keir Starmer as leader of the Labour Party. Mr Burnham has began to set out his plans for the country.
Tax Allowance Considered in Budget
Although he has not discussed any specific changes to the £12,570 threshold, Burnham said it would be considered in the Budget. Speaking to The Times over the weekend, the 56-year-old said the "frustration about the personal allowance" he had heard while campaigning in the Makerfield by-election was "lodged in my mind".
According to the BBC, the Prime Minister said "all of this will be looked at" in the next Budget. He said any change to the current situation would be "difficult given the financial circumstances in which we find ourselves".
Honest Answer on Tax Changes
Asked whether he would make changes to the income tax allowance on Wednesday, Burnham said: "It's funny these days you can't answer a question honestly without people then reading everything else into it."
"I want to answer questions honestly in this job, as I said before. I think that's all about trust in politics and doing politics differently, and I'm determined to keep keep working in that way."
"It's just perhaps the way politics is these days and the way people report things, but that was an honest answer. There is no commitment at this point to change, but we will look at that at the Budget."
Bus Fare Cap Announced
Mr Burnham has also announced a cap on single bus tickets at £2 during his first week in office. Millions of people will save a third on bus travel, as the Prime Minister confirmed the change in a bid to try and tackle the cost of living struggle faced by households across the UK.
Bus passengers will benefit from cheaper fares from January 1 2027, and for the rest of the year. Maximum fares will be slashed by a third. The last £2 fare cap saw an estimated 30 million more journeys taken by bus in just 10 months.
According to the government, the cap on fares outside of London will help millions of people across the country access affordable bus travel more easily, breaking down barriers to travel for people struggling with the cost of living, opening up opportunities and boosting local economies.
Ministerial Appointments
Mr Burnham is continuing to put in place his ministerial team, with Scottish Labour leader Anas Sarwar expected to be given a peerage and a job in the revamped Department for Business, Innovation, Science and Trade.
Mr Sarwar, who has been Scottish Labour leader since 2021, was among the first to call for Sir Keir to stand down in February.
Downing Street confirmed appointments including Dan Jarvis, who stepped in as Sir Keir’s defence secretary when Mr Healey resigned amid a funding row and has been returned to his previous post of security minister.
James Murray, who was health secretary when Wes Streeting quit, has been made Financial Secretary to the Treasury and Paymaster General.
Anna Turley is no longer Labour Party chairwoman and has instead been made a Home Office minister.
Florence Eshalomi has become a housing minister and Andy Slaughter Solicitor General, freeing up their roles as heads of parliament’s housing and justice committees.
There were also 17 reappointments for ministers to remain in their roles, including Sarah Sackman as justice minister and Luke Pollard as defence minister.
