Andy Burnham just revealed he’ll tax you to oblivion – big lie exposed | Personal Finance | Finance
Burnham wants more public ownership, more devolution, more government control and more infrastructure. He also wants more Ed Miliband, which would cost an arm and a leg. Like it or not, we will get more Angela Rayners, we will have more union powers and more workers’ rights. All of this will cost us a fortune. What’s the point of being Labor Prime Minister if you can’t spend big? Which brings me to the problem.
Burnham wants basic services like water and energy to be publicly owned, not for profit. But renationalising water alone could cost up to £100bn. This is a strange priority for a country that has no £28bn to defend itself against Vladimir Putin.
This is a big problem for Burnham. Unfortunately, it will become a big problem for the rest of us, too.
Taxes are at record levels and are predicted to continue rising for years. Reeves has maxed out the country’s credit card but still plans to borrow £140 billion this year, all of which will be added to our £3 trillion national debt. Yet the Left’s answer is the same: Spend more. And if he doesn’t, they’ll be after Burnham’s blood.
So where will he find the money to fulfill his promises? If he can’t borrow more and spend less, he’s left with only one option. Tax. And Burnham has never hesitated to raise that figure.
He has previously supported bringing the top rate of income tax back to 50p. This will excite the left side of the group for about 30 seconds. But it can only raise £1bn. The left wants to align capital gains tax bands with income taxes. The Treasury examined the idea and concluded that it could reduce revenues because investors delayed asset sales. It would also remove the incentive to start a business in Britain and destroy growth. Burnham can still do it.
This is not enough to finance a country of almost 70 million people. To fund his spending plans, Burnham would need to raise taxes on millions of ordinary Britons. Not billionaires. Not even millionaires. Just people who work, save, own a home, or invest for retirement. This is the truth. The first Budget under Burnham will be hell no matter who presents it.
When politicians make promises they can’t keep, someone is bound to pay the price. And it will be you.
