Burnham announces £850m tax cut on energy bills but faces questions over funding

Andy Burnham has announced a VAT cut on electricity bills (Ben Birchall/PA) - (PA Wire)

Andy Burnham’s first major policy announcement – an £850 million tax cut on electricity bills – has been criticised as “unfunded” by a sacked ally of Sir Keir Starmer.

From October 1 electricity bills will be VAT free, saving households around £45 per year as part of the Prime Minister’s promise to help ease cost-of-living pressures.