Labour Splits Erupt As Sacked Minister Says Andy Burnham's Energy Tax Cut Is 'Unfunded'
Former Secretary to the Treasury Darren Jones A close ally of Keir Starmer who was sacked by Andy Burnham on his first day as prime minister has hit out as his decision to cut VAT from electricity bills. Darren Jones, who was chief secretary to the prime minister in Starmer’s cabinet, said the policy was “unfunded”. Burnham announced on Tuesday morning that VAT on electricity bills would be reduced from 5% to zero from October 1, saving householders around £45 a year. He said the £850 million cost of the policy would be covered by his decision to axe Starmer’s digital ID scheme. According to the Office for Budget responsibility, that project was due to cost £1.8 billion over three years. But in a post on X, Jones, who was responsible for promoting the digital ID scheme, said: “Good news that VAT will be cut on electricity bills. It’s a simple way for families to save a few quid, and to mechanically help to keep inflation that little bit lower. “But the Digital ID program was unfunded. …









