Tax promises, defence targets and Iran: Andy Burnham’s budget headaches

BudgetTax promises, defence targets and Iran: Andy Burnham’s budget headaches

As economic circumstances worsen, the PM’s commitments have left him and the chancellor in a tight spot

Jessica Elgot Deputy political editorSat 29 Aug 2026 05.00 EDTSharePrefer the Guardian on Google

When Andy Burnham made his first speech after returning as an MP, he promised that as prime minister he would oversee “the most significant change moment in our politics for 40 years”. His style, direction and communication has been a big shift from Keir Starmer’s approach, but as he heads into the autumn, the new prime minister faces some very similar problems.

With an early budget in late October, and worsening economic circumstances, Burnham has made promises and commitments that put him in a tight spot. Here are some of the constraints over the coming months that Burnham and the chancellor, John Healey, must contend with in their autumn budget.

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• Budget
• Andy Burnham
• John Healey
• Economic policy
• Labour
• Tax and spending
• UK cost of living crisis
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