The government of the United Kingdom’s new Prime Minister, Andy Burnham, will reduce taxes on household electricity bills as part of its efforts to deliver on its pledge to ease the cost-of-living crisis, Downing Street announced today.
The British government plans to abolish Value Added Tax (VAT) on household electricity bills starting October 1, according to an official statement.
Digital ID Program Scrapped to Fund the Measure
The cost of the policy for the current financial year will be covered by cancelling the government’s £1.8 billion Digital Identity programme, Downing Street said.
Burnham’s office had previously announced that abandoning plans for the national digital ID scheme would be one of his first major decisions as Britain’s new prime minister.
The Digital Identity Programme was designed to provide every worker with a digital ID card as part of efforts to combat illegal migration. However, a cross-party parliamentary committee described the initiative as a “fiasco.”
Burnham Signals Fast Action
As Britain’s new prime minister, Burnham has pledged to move quickly to demonstrate that government can deliver meaningful change and improve living standards after years of economic stagnation.
“Westminster has not been working for people for far too long, and families are struggling with the cost of living,” Burnham said. “That has to change.”
