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News | Mail Online

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A new annual levy on land, 'death tax' to pay for social ...
Martin Beckford Policy · 2026-06-23 · via News | Mail Online

Published: | Updated:

Questions are mounting for Andy Burnham over what policies he would implement if he becomes Prime Minister within weeks.

In his victory speech after winning the Makerfield by-election, he promised to bring about change, bring fairness to places neglected by Westminster and take a 'place-first rather than a party-first' approach.

But he did not provide details of any specific plans he has for the country despite calling for lower bills.

And even before he won the seat, paving the way for his coronation as Sir Keir Starmer's successor, he had been forced to abandon many of his most eye-catching pledges.

He insisted recently he was 'not advocating' for the UK to rejoin the European Union, despite saying just last year he hoped Brexit would be reversed within his lifetime.

Mr Burnham has also gone back on his criticism of the bond markets, his position on trans rights and his promise pay compensation to the 'WASPI women'.

His shifting positions prompted Kemi Badenoch to tell the Commons on Monday that he 'is asking for a summer holiday to work out what he thinks'.

One of the few concrete plans the outgoing Greater Manchester Mayor is expected to put into place is cutting business rates for pubs, clubs and music venues by 20 per cent.

Andy Burnham promoting his public transport Bee Network as Greater Manchester Mayor 

His proposal would be paid for by increasing the levies on warehouses owned by internet retailers such as Amazon.

During the by-election campaign Mr Burnham also said he would look at reducing employers' National Insurance contributions – increased by Rachel Reeves in her first Budget – and admitted: 'Labour have got it wrong on small businesses.'

He may also look at sweeping reforms to council tax, which he has repeatedly criticised as 'regressive' and questioned how it can be fair that households in some parts of the north have to pay more than those in central London.

Mr Burnham has long argued in favour of a 'land value tax', an annual levy on the market rental value of plots.

It could mean the end of stamp duty as well as council tax, but it would mean some owners pay more than they do now – and could affect property prices.

Mr Burnham has ruled out hiking many of the other main taxes, however, as he vowed to stick with Labour's election manifesto pledge not to increase income tax, VAT or employee National Insurance rates.

'I am committed to the manifesto commitments on tax, I think that's really important from a trust point of view,' he said during the by-election campaign.

Mr Burnham is also a long-standing advocate for social care reform, dating back to his time as Health Secretary under Gordon Brown when he called for a levy on people's estates that was denounced as a 'death tax' by the Conservatives.

Just last month he said he still supported the idea of replacing inheritance tax with a charge on assets to fund a new National Care Service.

'I know there's a great resentment about inheritance tax, so actually just, you know, take that away perhaps and look at a care levy,' he said.

'I think there's a much better way of doing it, and people just have peace of mind while they're alive because they get the care that they need, and then it will be dealt with in a much better way.'

His approach, known as Manchesterism, is best illustrated by his reforms to public transport in the city, supporters say.

As metro mayor he took over the buses and trams in recent years, creating what is known as the Bee Network, with commuter rail due to be added in 2028.

He created a popular £2 fare cap for bus journeys although private companies operate the actual services.

A timely report published by pro-Burnham Labour group Mainstream on Monday defined Manchesterism as a way to secure 'public control of essentials to ensure everyone can live a dignified life, rebuild the productive foundations of the economy, and strengthen the nation's finances'.

He has also called for public control of key utilities although it is unclear if he would try to bring about full nationalisation, which could cost as much as £100billion for the water industry, or just stronger regulations.

In his victory speech Mr Burnham said: 'We do need to bring down water bills, energy bills, rail fares, just as we brought down bus fares in Greater Manchester.'

A government led by him could also seek to resurrect the northern leg of HS2, which would have run from Birmingham to Manchester.

In a recent interview he said the project, estimated at £36bn when it was cancelled three years ago, could be funded in a 'cleverer way' such as by increasing business rates.

At his campaign launch, Mr Burnham said he wanted 'the biggest programme of council house building since the Second World War' but this would again cost tens of billions of pounds a year.