Healey, like Burnham, is refusing to rule out further tax rises at the Budget. For all the talk of growth and deregulation at his snooze-a-thon speech this morning, here is the most telling quote:
“You were trying to take me onto questions of tax, questions that are part of anticipating the Budget I will deliver on 28th October.
And I say to you, look, if I respond to speculation now, that will only fuel more speculation. And it’s quite right, and every Chancellor will say, that’s for the Budget. And I’ll set out my plans and the future route for the Government, for this country, at that Budget.”
He did at least vow to stick to the moribund 2024 manifesto pledge not to raise VAT, national insurance, or income tax. Of course, Rachel Reeves already took a bazooka to that promise in her first Budget…
Former Treasury minister and adviser to Burnham in the Makerfield campaign Lord Jim O’Neill, who has turned down a role in his government, said Burnham’s first statement Commons was:
“The last thing investors wanted to hear… gilt yields have risen by a 0.25% in one day, which is a lot. We’ve not had that since Liz Truss days… If your country is under the focus of ‘can they come up with a sensible fiscal strategy’ on a day when the markets think ‘well no, you’re not showing any sign of it’ you’re going to have a tough day…if it stays like this your mortgage rate is going up.”