Esther McVey has launched a scathing attack on Prime Minister Andy Burnham, arguing that his plans to tackle the cost of living will instead cause "untold damage" to the economy. Writing in a recent opinion piece, McVey questioned how Burnham intends to reduce prices, accusing him of relying on clichés and avoiding specifics.
Burnham's approach under fire
McVey, a former Conservative minister, criticised Burnham's lack of detail on how he will lower the cost of living. She noted that Lucy Powell, one of Burnham's key allies, promised a "laser focus" on the issue, but McVey argued that without concrete measures, such promises ring hollow. "Andy hasn't told us that yet. He's not fond of explaining things," she wrote.
According to McVey, the first step to reducing the cost of living is lowering energy prices. She called for the removal of carbon taxes from bills and for new oil drilling in the North Sea. While Burnham has floated the idea of more oil and gas extraction, McVey expressed scepticism, noting his strong advocacy for net zero targets. "This could be more smoke and mirrors," she said.
Fear of a 1970s-style economy
McVey painted Burnham as a "hardcore socialist" intent on taking the country back to the 1970s, an era she described as the "sick man of Europe" before Margaret Thatcher's reforms. She claimed Burnham harbours a "clear hatred of the 1980s" and a "bizarre desire" to emulate the 1970s, which she argued would stifle economic growth.
McVey warned that Burnham's policies could include a wealth tax, a new tax on homes, a land tax, and a significant hike in capital gains tax, reportedly aiming to raise an additional £38 billion. "As if we are not taxed enough," she wrote, arguing that the real problem is government overspending, not undertaxation.
Comparison to Thatcher era
Drawing a stark contrast, McVey highlighted the economic challenges Thatcher faced in 1979, including a top income tax rate of 83% and a 98% rate on investment income, which her government slashed to 40% and abolished respectively. McVey argued that Burnham's nostalgia for the pre-Thatcher era is misplaced and would lead to higher taxes and state control.
"Burnham's view that this marked a wrong turn in our history should worry all of us," McVey wrote. She concluded that his "Back to the Future 1970s nostalgia heaven is likely to prove a living hell for those who will have to pay through the nose."
