Andy Burnham three new tax bands update with 1% increase plan put forward

NewsCost Of LivingAndy BurnhamNew 21%, 41% and 46% rates put forward06:45, 29 Jul 2026Andy Burnham has been urged to raise income tax. Mr Burnham, the new Labour Party government Prime Minister, has been told he must increase taxes or find savings from government departments' budgets.‌The Makerfield MP has been issued the warning as £24bn hole looms in Labour’s spending plans. The National Institute of Economic and Social Research (Niesr), a think tank, said Mr Burnham would need to find an extra £24bn by the end of the decade.‌If he doesn't, the UK must accept real-terms cuts to planned spending on hospitals and schools. Stephen Millard, the deputy director of Niesr, said a hike to income tax was the best way to fund it. That's despite an increase flying in the face of the Labour manifest