How Shabana Mahmood’s history on tax could spark tension with Burnham allies

• Shabana Mahmood is the frontrunner to be named Andy Burnham’s Chancellor, a move already causing tensions with left-wing Labour MPs due to her past criticisms of tax and welfare policies.
• Mahmood privately branded Rachel Reeves’ tax hikes as “ridiculous” and “anti-competitive,” opposing measures such as increased employers’ national insurance contributions, scrapping non-dom status, and VAT on independent school fees.
• Left-wing MPs are concerned about Mahmood’s appointment, given her right-leaning stance and opposition to wealth taxes, which could clash with Burnham’s potential plans to raise significant tax revenue.
• Supporters, however, praise Mahmood as a “brilliant minister” with the determination to get things done, highlighting her success in controlling immigration figures during her tenure at the Home Office.
• Burnham faces several financial challenges, including funding a massive devolution rollout, securing devolved income tax powers for mayors, and addressing the crisis in special needs education, which police and crime commissioners warn could lead to increased crime.