BURNHAM WARNS OF BIG COUNCIL TAX DECISIONS FOR GREATER MANCHESTER

Andy Burnham has said his administration faces significant decisions on council tax reform, citing unfairness in the current system. Speaking on the BBC's Panorama programme, Mr Burnham stated that residents in Greater Manchester often pay higher council tax than those living in larger homes in London. He said the previous Chancellor, Rachel Reeves, was correct to begin reforming council tax to create greater fairness based on property values. Mr Burnham added that any changes would need to align with Labour's election manifesto.

Downing Street denied reports that the government is considering replacing council tax and stamp duty with a tax based on property or land values. The Prime Minister's official spokesman stated that tax decisions are a matter for the Chancellor to announce at fiscal events. According to the Fairer Share Campaign, a flat-rate annual charge could save households in areas such as Hartlepool approximately £950 a year. Stamp duty is currently paid on property sales from £125,000 upwards, though first-time buyers are exempt on purchases up to £300,000.

Labour has faced pressure from backbench MPs to reform council tax. Jonathan Brash, who chairs the cross-party group of MPs on council tax reform and represents Hartlepool, has urged action on the matter. Mr Burnham has previously stated he has been persuaded by arguments for reforming the system. He indicated that any reforms would require careful consideration of consistency with Labour's electoral commitments.