Andy Burnham’s populist policy bonanza is ignoring huge problems Labour can’t solve | Politics | News

Britain is in an economic rut and the impact of slowing economic growth and higher taxes is being felt by everyone.

Andy Burnham began to introduce his new style of politics in a bid to address the concerns of ordinary Britons.

It has already announced that VAT on energy bills will be scrapped, the £2 bus fare cap will be brought back and running fees for pubs and music venues will be eased.

While each of these measures would be welcome and make for good social media ‘clips’, each is of little value.

The VAT cut saves the average household around £45 a year, and it comes just ahead of an expected rise in the energy price cap that will swallow up much of this.

The bus fare cap will cost the treasury a modest sum and the rate cut is arguably of little value and comes too late.

Ultimately, the problem is what these measures avoid confronting.

Household energy bills are high due to a combination of supply curtailment and high taxes on basic goods.

Taxes on energy producers have already increased costs and driven away investment; Labour’s obsession with net zero has proven costly.

So far our Prime Minister has refused to address these issues.

It did not address anything beyond a narrow, sector-specific adjustment to the business rates system that would result in restaurants, hotels, cafes and cinemas paying full wages.

Nor has he offered any plans to reduce the welfare bill, which has been rising exponentially for more than a decade, or the tax burden on the businesses and workers expected to finance it.

In treating the symptoms, Labor is allowing the underlying disease – a state that has become too big for the economy to pay for – to fester.

It earned itself a good headline week; Whether Britain gets something more durable is another matter.