M Levin & Co

Media Tax Highlights - Friday 24 July 2026

Business rates

Andy Burnham says 20% business rates cut for English pubs a first step - BBC News Online (Henry Zeffman and Archie Mitchell)
- Business rates cut for pubs, clubs and music venues in England only ‘a small move’, say critics (The Guardian – Pippa Crerar and Rob Davies)

Pubs, social clubs and live music venues in England will be given a 20% cut to business rates from April, with new Prime Minister Andy Burnham calling it a "first step" to help the industry. It is his third policy announcement since entering No 10, and the government estimates the plan will save firms around £1,100 next year. As well as reviewing tax relief on firms such as v**e shops and gambling arcades which "do not make a positive contribution to local communities" in order to fund the rate cut, the government said it will "crack down" on businesses selling through online marketplaces which "do not comply with their tax obligations".



What Burnham means for your money - from income tax to pensions - Sky News

Sky News summarises the new Prime Minister’s personal and business finance announcements in his first week in office. Andy Burnham has confirmed a 20% business rates reduction for pubs, clubs and music venues next year, a VAT cut on electricity bills later this year and a £2 cap on bus fares at the start of 2027. But he has distanced himself from hints that the income tax personal allowance will be raised, at least in the short term.



Visitor levy

How much is Edinburgh's tourist tax and who pays it? -
- BBC News Online

Edinburgh has become the first city in Scotland to introduce a tourist tax. The visitor levy, which comes into effect today, will see those staying overnight in hotels, bed and breakfasts and self-catering accommodation, charged an additional 5% on top of their original booking cost. The charge aims to raise about £50m annually. However, opponents claim the additional cost could put some potential visitors off.



Income tax

Government confirms its commitment to keeping state pensioners exempt from income tax - (LBC - Isobel Anderson Morris)

The Government remains committed to making sure pensioners whose only income is their pension will not pay income tax, the Treasury has said. This commitment will see the new Chancellor John Healey stick to his predecessor’s pledge. A Treasury spokesperson said: “Anyone whose only income is the full new or basic State Pension without any increments will not pay income tax and we are committed to that over this Parliament.“
[NB Readers might recall that we pointed out that a re-introduction of the Age Allowance could achieve this target]



HMRC issues new 2-week tax deadline warning to 864,000 Brits -
- Express (Ewan Gleadow)

The Express is among a number of media outlets highlighting that sole traders and landlords within the scope of Making Tax Digital (MTD) for Income Tax have just two weeks left before the deadline to submit their first quarterly update. The update covers income and expenses for the first three months of the tax year, and the deadline for submitting it to HMRC is August 7, 2026.


Property taxes

Burnham warned mansion tax could leave councils worse off -
- The Independent (Jonathan Bunn)
- Councils highlight potential confusion and costs of planned ‘mansion tax’ (LBC – Georgia Rowe)
- Councils warn against role in new ‘mansion tax’ style council tax surcharge (Public Sector Executive – Dan Benn)

Councils have warned that the planned "mansion tax" (officially the high-value council tax surcharge) could cause confusion, undermine accountability and impact local services. The charge on properties valued above £2 million, announced by Rachel Reeves in last autumn’s Budget, would be "complex" and create an "inefficient parallel system" to council tax, the Local Government Association had said.



Lord Blunkett warns 'land value tax' would take years to implement and cause fury - Daily Mail (James Tapsfield, UK Political Editor)

‘Andy Burnham's political mentor’ (the Mail’s words) has warned that a 'land value tax' would take many years to implement and cause fury in London and the South East. Lord Blunkett said imposing annual charges based on a percentage of the undeveloped value of land would be 'politically problematic' and 'dislocate the system because of the winners and losers'.



Wealth and capital taxes

What is a wealth tax, how would it work, and will Andy Burnham introduce one? -
- Daily Mirror (Graham Hiscott - Business and Consumer Editor)

The Mirror carries an article about what a wealth tax is and how it might work. This follows up this week’s letter from more than 100 UK-based millionaires urging new Prime Minister Andy Burnham to tax their wealth. On whether a wealth tax is likely to happen the paper hedges its bets, noting that Burnham refused to rule it out in a recent interview but adding that he also said he wanted to focus on “bringing people together” rather than creating “new divisions”.



The ultimate guide to beating inheritance tax: Wealth experts reveal 11 steps to take NOW to protect your money - - Mail / This is Money (Tanya Jefferies, Pensions and Investment Editor)

The Mail offers its readers advice on “beating inheritance tax”, having “asked inheritance planning experts for their ultimate inheritance tax to-do lists – what you should do when, and in what order, to slash your family’s bill.” The 11 points of advice include working out what you can afford to give away, making a will, considering setting up a trust and “quick wins” such as considering deeds of variation.

Media Tax Highlights - Thursday 23 July 2026

Wealth tax

Lineker begs Burnham: Tax millionaires like me more -
- The Telegraph (Pieter Snepvangers)

Former England striker Gary Lineker is among 120 wealthy signatories urging the government to increase taxes on the super-rich. In a letter organised by Patriotic Millionaires UK, they argue that taxing extreme wealth would reduce inequality and improve public services. Lineker said: “[p]aying your fair share is a basic British value.”


‘I quit Britain for Texas, and now I pay 14% less tax’ -
- The Times (Eve Upton-Clark)

Wealth management firm Rathbones has said that almost 6,000 business owners have left the UK over the past two years for places such as the United Arab Emirates and Spain. The Times also highlights how the State of Texas has become an “increasingly attractive” option for corporate migration due to its lack of corporation and income tax, and the fact it does not levy a franchise tax (charged on businesses operating in the state) on small businesses with annual revenue below $2.65 million.



Income tax

Nearly 1m people to pay higher tax ‘by stealth’ -
- CityA.M. (Mauricio Alencar)
- No immediate change to income tax allowance, says Burnham (BBC News – Harry Farley and Kate Whannel)

The Taxpayers' Alliance claims nearly 1 million people will move into higher income tax bands this year due to frozen thresholds. The group estimates 500,000 more people will pay basic-rate tax, 410,000 will enter the higher-rate band and 70,000 will pay the additional rate. Average tax bills are expected to rise by £640 compared with 2025. The research comes in the wake of reports that Andy Burnham could increase the tax-free personal allowance at the next Budget.



Tax investigation

Tories ask HMRC to investigate whether Nigel Farage owes tax on £5m gift - The Guardian (Rowena Mason)

The Conservatives have asked HMRC to investigate whether Nigel Farage have paid tax on a £5 million gift from the crypto billionaire Christopher Harborne. Party chair Kevin Hollinrake questioned whether it was linked to Farage’s parliamentary campaign. Farage insists the gift was personal and unconditional.


Property tax

Don't hammer Londoners with new £800-a-year homes tax, Andy Burnham warned - The Standard (Nicholas Cecil)

The Centre for London think tank has urged the new Prime Minister to rule out a proposed reform to property tax, backed by the Fairer Share Campaign. The plan would replace council tax and stamp duty land tax with a proportional property tax (charged at a flat rate of 0.48%). The think tank has warned that owners of £600,000 homes could face annual bills up to £800. Antonia Jennings, chief executive of the group, said: “This approach would hike up bills for many London households, while removing one of the few remaining tax-setting powers available to local government through council tax”.

Tax rises

Kemi Badenoch to demand Andy Burnham rules out tax raids to pay for 'spending spree' in first days in charge -
- GB News (Oliver Partridge)

Conservative leader Kemi Badenoch has questioned Andy Burnham's spending plans, calling on him to “rule out tax rises to pay for his spending spree”. She has argued that the problem ‘goes beyond’ policies announced so far, such as cutting VAT on energy bills and capping bus fares, adding that “government has made nearly everything more costly, and Andy Burnham’s answer is to cap one price and send the bill somewhere else.”

Visitor levy

Mulberry boss calls on Andy Burnham to scrap tourist tax to boost jobs - This is Money (Emily Hawkins)

The CEO [Chief Executive Officer] of Mulberry has urged the government to abolish the proposed visitor levy to enhance British manufacturing and luxury sales. Andrea Baldo also argued that reinstating a VAT-free shopping scheme should be a priority for the new Prime Minister as it could create jobs.

Media Tax Highlights - Wednesday 22 July 2026

VAT


BBC Radio Cumbria (from 2:02:38)

Following the government’s announcement that VAT is to be cut on electricity bills, Helen Thornley from ATT told BBC Radio Cumbria that more money-saving measures like this could be expected from the government. She said they are “fairly targeted” at a “limited cost” to the government, while highlighting that there are already similar VAT measures, such as VAT savings on family leisure and children's meals over the summer.



Business rates


Burnham to launch £1bn raid on Amazon and Asos to pay for pub tax break - The Telegraph (Emma Taggart)

The Prime Minister is expected to announce business rates reforms that would raise taxes on large warehouses such as those operated by online firms like Amazon and Asos to fund more than £1 billion of rates relief for pubs, clubs and live music venues. Calculations by Ryan, the global tax firm, show that cutting business rates for pubs, clubs and live music venues by 20pc would cost £133 million. Industry groups, including the UK Warehousing Association and the British Retail Consortium, have warned against the proposal, warning it could discourage investment and lead to higher prices for consumers.



Inheritance tax


IHT receipts hit record high as Rachel Reeves’ frozen bands raid plague Brits - CityA.M. (Maisie Grice)

HMRC data shows that Inheritance tax receipts hit a record £2.3 billion between April and June 2026, up £96 million year-on-year. The increase comes amid a freeze on income tax thresholds, with Forvis Mazars director, Tom Trewby, explaining that “rising asset prices mean that inheritance tax is hitting families it never used to catch”.


Income tax


Healey backed 50p income tax and higher benefit spending -
- The Telegraph (Tim Wallace)

The Telegraph’s Deputy Economics Editor suggests the appointment of John Healey as Chancellor has fuelled speculation about future tax rises. He says while Labour has ruled out increases to income tax, National Insurance, VAT, potential options could include higher capital gains tax and threshold changes. He adds that Healey also previously backed the 50pc top rate of income tax and campaigned for higher benefit spending.



Tax for social care


Could a death tax give Andy Burnham £18bn a year to fix social care? - The Times (Eleanor Hayward and Rachel Mortimer)

The Times reports that successive governments have struggled to fund social care reform, and that providing universal care would cost an estimated £18.4 billion a year. It notes that the Prime Minister has indicated support for a new ‘national care levy’, including a proposed 10% levy on estates after death to fund free social care. The paper suggests the plan would replace much of the current inheritance tax system but could extend a form of death tax to millions of households that do not currently pay inheritance tax.



Tax dispute


Thomas the Tank Engine heirs win tax battle with HMRC -
- The Telegraph (Linus Uhlig)

Heirs to the Thomas the Tank Engine fortune have won a High Court case against HMRC over the tax treatment of book royalties. The court ruled that royalties paid to a family trust should be treated as capital rather than income for trust-law purposes, protecting the trust from potential tax charges.



Tax breaks


MPs call on Burnham to extend employer tax break for under-25s -
- Financial Times (Delphine Strauss)

The House of Commons Work and Pensions Committee has urged the Prime Minister to extend National Insurance relief to employers hiring under-25s to help tackle youth inactivity. The proposal, backed by the Resolution Foundation, is estimated to bring 38,000 more young people into work at a cost of £5.1bn to the Treasury.



Taxation of private schools


New education secretary backed more taxes on private schools -
- Telegraph (Tim Sigsworth)

The Telegraph reports that Education Secretary Lucy Powell supports increasing the taxation of private schools, arguing that in 2019 she said Labour should “ensure” that private schools with charitable status no longer received any tax breaks. A spokesperson for the Department for Education responded: “Private schools are independent, fee-charging institutions… It is not the job of taxpayers to fund that tax advantage”.



International

Lebanon proposes $1mn ‘golden visa’ for low-tax residency -
- Financial Times (Malaika Kanaaneh Tapper)

Lebanon is considering a $1 million “golden visa” scheme that would grant residency and tax benefits to foreigners who invest in the country and spend at least 90 days a year there. In return, participants would be exempt from Lebanese tax on overseas investment income.

Media Tax Highlights - Tuesday 21 July 2026

New cabinet

Healey made chancellor, Miliband named foreign secretary and Yvette Cooper becomes health secretary as Burnham picks cabinet - The Guardian (Andrew Sparrow)
- Why Britain’s new chancellor must fix a broken tax system (The Times – Mehreen Khan)

Andy Burnham has unveiled his first cabinet, with former Defence Secretary John Healey becoming Chancellor. Ed Miliband and Shabana Mahmood, who had been tipped for the role, will be Foreign Secretary and Home Secretary respectively, while Pat McFadden continues as Work and Pensions Secretary. Writing in the Times, Mehreen Khan explored the new Chancellor’s in-tray, saying that tax policies should aim to broaden the tax base and make it more progressive.

VAT

VAT to be cut from household electricity bills in October -
- BBC News (Kevin Peachey)
- New PM cuts tax on household electricity bills to give breathing space on cost of living (Gov.uk press release)
- Labour Splits Erupt As Sacked Minister Says Andy Burnham's Energy Tax Cut Is 'Unfunded' (Huffington Post, Kevin Schofield)

VAT will be cut from household electricity bills, the government has announced, as part of new Prime Minister Andy Burnham's pledge to help with the cost of living. The reduction from 5% VAT to zero will come into effect on 1 October, saving a typical household about £45 a year. Ministers said it would be funded by savings from the cancellation of the digital ID programme, which was going to cost £1.8 billion over the next three years. However, in what has been regarded as a sign of splits within the Labour Party, Darren Jones, the former Chief Secretary to the Prime Minister sacked by Burnham, claimed the ID programme had been “unfunded” and called on the new PM to explain how he will pay for the VAT cut.

Income tax

Burnham could bring back 50p income tax rate – to pay for a cut for lower earners - The i (Caroline Wheeler)
- Andy Burnham weighing up bringing back 50p tax rate for wealthy workers in bid to balance budget (The Sun – Ryan Sabey)
- Burnham's personal allowance freeze: Scotland budget impact (The Herald – Andrew Learmonth, political editor)

Andy Burnham has not ruled out reinstating the 50p top tax rate, saying there is "definitely a case" for it. The new Prime Minister also expressed concern over the impact of frozen tax thresholds on low-income pensioners, saying that the fact the threshold being held at £12,570 has "dragged more people in" has become "a growing issue." Burnham defended comments about there being "room for movement" on tax, arguing he is not simply a "tax raiser" and that any measures to ease the cost of living would be fully funded[sic. |That's yet another unchallenged cliché]. In Scotland, the Herald notes that any increases to the tax-free personal allowance would be “good news” for Scottish workers, but points to comments from the Institute for Fiscal Studies on the impact it could have on the Scottish Government’s budget.

Inheritance tax

Burnham hints at tax rises to pay for social care -
- Daily Telegraph (Nick Gutteridge and Tony Diver)

Andy Burnham could look to introduce a tax to fund adult social care, saying reform of the current system - which he describes as "broken" - is required. Mr Burnham previously suggested a £3.6 billion national care service funded by a 10% tax on estates. The Prime Minister highlighted the impact of high care costs on families, noting that many are forced to sell their homes.

Wealth taxes

Wealth tax on UK’s super-rich could raise £10bn a year, Andy Burnham told - The Guardian (Phillip Inman)

A proposed wealth tax on the UK's wealthiest households could generate £10bn annually, according to a study by academics Gabriel Zucman and Ben Tippet. The plan suggests a 2% minimum charge on households with over £100 million in wealth, impacting fewer than 1,000 families. New PM Andy Burnham has indicated that such a tax might feature in his 10-year plan, although his advisers are currently considering adjustments to capital gains tax.

Business taxes

Warehouse tax could threaten high street businesses, Burnham warned - City AM (Felix Armstrong)

A proposal to increase taxes on warehouses to fund business rates cuts for pubs and shops has drawn criticism from the UK Warehousing Association. Chief executive Clare Bottle warned that such tax rises could worsen the situation for high street businesses, saying: "Endless tweaking of thresholds and reliefs... will only mean higher costs for the consumer."


Slash taxes to revive Britain's battered airline industry, BA boss tells Burnham - Daily Mail (John-Paul Ford Rojas)

Sean Doyle, the CEO of British Airways, has urged new Prime Minister Andy Burnham to reduce taxes on airlines, saying air passenger duty and airport charges hinder competitiveness. He said: "If you want this sector of the economy to continue to grow, you've got to make sure that we reduce the taxation burden."

Cruise industry hits back at claims that ships should pay higher taxes - The Independent (Marc Shoffman)

A report by Transport & Environment shows that hotel stays incur 23% in taxes, while cruise passengers only pay 12%. The think-tank proposes a €15 tax per passenger per port call to raise €335 million annually. However, the Cruise Lines International Association has questioned the report, citing broader economic contributions.

Media Tax Highlights - Saturday 18 to Monday 20 July 2026

HMRC

What has the overhaul of HMRC delivered [sic] so far? -
- Financial Times (Josephine Cumbo)

The FT explores how HMRC is progressing with their transformation plan, aiming to become a digital-first body, while improving customer [sic] service and shrinking the tax gap [an unquantified figure]. It said while call wait times have fallen and numbers using HMRC’s app are up, there is still some way to go, with estimates for the tax gap showing it has also risen. “HMRC has some notable achievements in 2025-26,” said Charlotte Barbour, chair of the Chartered Institute of Taxation’s technical policy and oversight committee, but added that “some targets are still being missed”. Ellen Milner, CIOT’s director of public policy added that HMRC’s ambition to bring in an extra £10 billion of revenue by 2029-30 by closing the tax gap “feels very optimistic”. “In order to make a serious dent in the tax gap the department needs to keep pursuing the full range of compliance interventions, whilst continuing to improve the services and support available to taxpayers to help them get it right,” she said.

Income tax

Burnham hints at rise in tax-free allowance -
- Daily Telegraph (Gwyn Wright)
- Burnham on football, his father’s dementia and preparing for power (The Times interview)

Andy Burnham has hinted he could raise the personal allowance as he pledged to offer “tangible” improvements to help people with the cost of living. In an interview with The Times, the prime minister-in-waiting said the fact the tax-free allowance had been frozen at £12,500 for five years was “the thing I heard the most on the doorsteps” during the Makerfield by-election campaign. He added: “So when people, they’re just characterising me as a tax raiser, well again it’s never that simplistic is it? The breathing space point is a really serious one. How do we just make people feel better?”

Top 10% of earners pay nearly 60% of income tax -
- The Sunday Times (Helena Kelly)

The top 10% of earners in the UK now contribute 58.4% of the country's income tax, up from 50.3% at the start of the century, according to HMRC. To qualify for this bracket, individuals must earn £72,500 or more. Mike Warburton, a former tax director for Grant Thornton, said: "It may be politically expedient to raise more tax from the highest earners. However, we have reached the point where this is likely to be counterproductive, with the negative impact on motivation and investment together with top earners leaving the country."
[NB This is yet another example of the "Laffer Curve", whereby the tax yield goes UP when the tax RATES go down - and vice versa]

IMF: Tax raid on high-earners will backfire -
- Daily Telegraph (Szu Ping Chan)

The International Monetary Fund (IMF) has warned that raising the 45p additional rate of income tax would result in a reduction in receipts for the Treasury. Britain’s highest earners already faced some of the toughest marginal tax rates in the G7, the IMF said, before going on to explain that increasing the marginal tax rate on the top 10% of taxpayers would reduce tax revenues by 0.5% a year while cutting total earnings across the economy by 0.9%. The warning comes amid speculation that Shabana Mahmood - who has previously backed restoring the 50p top rate of income tax - could become Chancellor.
[NB This is yet another example of the "Laffer Curve", whereby the tax yield goes UP when the tax RATES go down - and vice versa]

Burnham to hand income tax powers to Labour mayors -
- Daily Telegraph (Tony Diver)

Treasury officials have developed an "income tax sharing" initiative for incoming Prime Minister Andy Burnham, in which selected English mayors will receive a portion of the income tax revenue generated within their regions. The Telegraph reports that transferring these billions of pounds of funding is intended to encourage local leaders to pursue higher regional economic growth.

Inheritance tax

Andy Burnham warned not to hit Britons with 'death tax' without fighting election first - Sunday Express (David Williamson)

Andy Burnham faces strong opposition to his proposed "death tax" aimed at funding social care. Reform UK's Robert Jenrick said Burnham lacks the mandate to impose such a tax and should call a general election instead. Jenrick warned that the proposal, which could involve a 10% levy on estates, is a "recipe for disaster." He stressed that the public did not vote for this tax [NB Nobody actually "votes" for a tax; instead they "vote for a PERSON to represent them in the Palace of Westminster] and that Reform UK will campaign against it. The new care service could cost up to £18bn annually.

Burnham urged to scrap inheritance tax raid on family firms -
- Daily Mail (Hugo Duncan)
Nightmare on Downing St – UK business issues vote of no confidence in new PM (Daily Express – Giles Sheldrick)

Research from Family Business UK (FBUK) shows that family-owned firms want new Prime Minister Andy Burnham to "address falling confidence, investment and employment." They oppose the new 20% inheritance tax, fearing it could jeopardise generations of hard work, and have urged Mr Burnham and his Chancellor to "rule out increasing other taxes on business ownership, succession and investment," such as capital gains and corporation taxes. Neil Davy of FBUK said Mr Burnham's first 100 days in office "offer him a golden opportunity to embrace the power and scale of Britain's family business sector." Meanwhile, the Express reports that a survey of 200 UK business leaders by advisory firm DJH reveals widespread concern over the economic outlook under the new Prime Minister, with 75% fearing further tax rises.

Property taxes

Burnham plots homes tax raid on middle class: Plan to lower mansion levy limit will hit UK strivers -
- Mail on Sunday (Anne Ashworth and Glen Owen)
- Andy Burnham facing pressure to raise council tax on Britain’s most expensive homes (The Independent – Simon English)

Families in the South of England could face an £800 million tax burden from rumoured changes to the high value council tax surcharge. Analysis reveals that middle-class homeowners in London and the South East would shoulder 70% of a total £1.2 billion tax impact if suggestions that the threshold for the levy will be reduced from £2 million to £1.5 million come to pass. The change would affect an estimated 146,000 properties in London, compared to just 2,400 in Manchester. Meanwhile a cross-party group of MPs has urged Andy Burnham to introduce new council tax bands for England’s top valued properties, arguing the current system is outdated and fails to reflect decades of changes in house prices.


Wealth taxes

Burnham’s strategy chief backed annual wealth tax -
- Sunday Telegraph (Sabrina Miller)

Matthew McGregor, who was appointed chief strategist last week by Andy Burnham, previously endorsed a policy paper arguing for a 2% annual wealth tax on the rich. McGregor is a former chief executive of the Left-wing activist organisation 38 Degrees and has advocated for tax rises on the ultra-rich, the big banks, gambling firms and fossil fuel firms and opposed Sir Keir Starmer’s welfare reforms.

Icelandic billionaire quits Britain for Italy -
- Sunday Telegraph (Emma Taggart)

Thor Björgólfsson, Iceland's first billionaire, has relocated from the UK to Italy, moving his investment firm Novator to Zurich. This follows Labour's abolition of non-dom status and stricter inheritance tax rules, prompting concerns of an exodus among high-net-worth individuals. His move has resulted in job losses in London, raising alarms about the impact on the UK's financial services sector. A Treasury spokesman defended the changes, asserting that those residing in the UK should pay taxes here.

Disguised remuneration

Reform could be hit with £3m tax bill because of Farage’s £5m donation, tax expert claims - The Independent (Millie Cooke)

Tax expert Dan Neidle has warned that Reform UK could face a £3 million tax bill due to Nigel Farage's undeclared £5 million donation from crypto billionaire Christopher Harborne. Neidle said that if reports were true that the payment was to cover lost earnings if Farage stood for parliament in the 2024 general election then "it looks like an arrangement to provide a reward connected with an office." HMRC would then have a strong argument that "disguised remuneration" rules apply, Neidle suggested, and the Reform company would be liable for PAYE on the £5 million. The Reform UK party has denied the claims, labelling them as "fake and wholly incorrect."

Scotland

HMRC plans to end January tax bills for millions from 2029 -
- The Herald (Jade Wright)The Herald (Jade Wright)

Self-employed workers, landlords and those with “side hustles” could soon have to pay their tax earlier under a major HMRC shake-up, reports the Herald. The government is consulting on plans to overhaul the Self Assessment system by collecting income tax much closer to the point people earn it, rather than allowing bills to build up over months. While ministers insist the proposals are not a tax rise, the changes would mean millions could see money leaving their bank account far more regularly than they do now.

Levels of taxation

Andy Burnham ripped apart on Labour's 'coronation day' over 'tax rises' - Daily Express (Jonathan Walker)
How your taxes and money could be affected by Andy Burnham becoming PM (The Independent)

Conservative leader Kemi Badenoch has warned that incoming Prime Minister Andy Burnham has no mandate for further tax rises. She argued that even speculation over higher taxes could undermine business investment, household finances and economic growth. Burnham has not ruled out future tax increases, saying the government may at some point need to "ask for a little more" but Badenoch has urged him to avoid raising taxes and instead focus on reducing spending, particularly the welfare bill.

Media Tax Highlights - Friday 17 July 2026

New government’s tax agenda

Mahmood backed 50p income tax -
- Daily Telegraph (Harry Brennan and Ben Butcher)
- Who is the real Shabana Mahmood and what are her views on the economy? (The Times – Geraldine Scott, Matt Dathan and Constance Kampfner)

The Telegraph reports that Shabana Mahmood, the favourite to become Andy Burnham’s Chancellor, has previously backed increasing the top rate of income tax to 50p. Mahmood also opposed reducing capital gains tax when former Chancellor George Osborne cut the main rate from 28% to 20% and has backed the high value council tax surcharge, windfall taxes on oil companies and levies on tech giants.

Burnham must avoid ‘summer of speculation’ on tax, warns CBI chief - The Guardian (Heather Stewart)
- Andy Burnham warned over Capital Gains Tax raid (Daily Express – Rory Poulter)

Rain Newton-Smith, the chief executive of the CBI, has cautioned Andy Burnham against creating a "summer of speculation" regarding tax and spending. She stressed the need for a stable fiscal plan, saying: "What business wants to see is evolution, not revolution." Newton-Smith pointed to the importance of addressing business costs, particularly high energy bills, and suggested public-private partnerships for funding projects. Meanwhile, The Centre for Policy Studies (CPS) has warned against Burnham’s rumoured plans to increase capital gains tax (CGT), stating it could reduce Treasury revenue. They suggest that a proposed 10% rise in CGT could cost £3.6 billion over three years, as wealthy taxpayers relocate.

Wealth taxes won’t scare off the super-rich, insists Burnham ally -
- The Times (Constance Kampfner)

Steve Rotheram, the mayor of Liverpool and a close ally of Andy Burnham, has downplayed concerns that a wealth tax would drive the super-rich out of the UK. Rotheram said: "We get this all the time... these threats happen all the time." He acknowledged the poor optics of wealthy individuals leaving, but argued that as long as their business interests remained in the country it was ok.

Income tax

Savers stung by record £8.4bn tax grab -
- Daily Telegraph (Alex Marsh)

Savers paid a record £8.4 billion in tax last year, 38% higher than forecast, reports the Telegraph. The increase was driven by interest rates remaining higher for longer alongside frozen tax thresholds that have not changed since 2016. As a result of these frozen limits, more than 2.7 million people were dragged into paying tax on their savings interest.

Number of over-65s paying tax hits 10mn, HMRC finds -
- FT Adviser (Sonia Rach)

Numbers in the small print of this year’s Spring Statement indicate that more pensioners are now paying income tax than previously thought, according to FT Adviser. The news site reports that the number of over 65s paying tax has risen by more than 3 million in the five years since the tax threshold was frozen, crossing the 10 million mark for the first time. Steve Webb, partner at pension consultants LCP, said previously published figures may have underestimated the number of taxpaying pensioners.

Tax compliance

Barrister accused of £2mn tax evasion faces retrial after case collapses - Financial Times (Suzi Ring)

Tax barrister Robert Venables KC is facing a retrial after a jury failed to reach a verdict on whether he had evaded £2 million in tax by using a series of trust and partnership structures to reduce his tax liabilities. The case collapsed after the 10 remaining jurors said that they could not reach a majority verdict, which would require at least nine to agree. Two jurors had already been dismissed, including one in relation to tensions that had arisen between the jury during deliberations. The court had already ruled that Venables had under-declared his taxable income. However, the jury was tasked with deciding whether the barrister had known this at the time and submitted his tax returns dishonestly or had made an honest mistake. A retrial has been scheduled for October 2027.