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UK Prime Minister Cuts Electricity Tax

Andy Burnham is the new Prime Minister of the United Kingdom. He announced a cut to a tax on household electricity bills.

It is part of his plan to lower living costs. He announced it on his first full day in office.

The tax cut should save households about £45 a year. Burnham said the cut will be paid for by scrapping a digital ID plan.

That plan belonged to the previous prime minister. A former minister said Burnham's plan has no real funding. The tax cut is set to start in October.

Klear Note UK households pay taxes on electricity bills. Lower taxes mean people spend less money on energy costs each month.
Key Terms 2
  • VAT A tax added to the price of goods and services in the UK.
  • digital ID scheme A plan for a national digital identity card system in the UK.
Verified Sources 3