Andy Burnham to cut VAT on electricity bills as first cost of living move

Newly appointed chancellor John Healey says reduction will be funded by cancelling digital ID scheme

Electricity bills will be reduced by an average of 45 a year from October, after Andy Burnham announced the government would remove VAT from them.

The new prime minister said on Tuesday he was implementing an immediate tax cut to help ease cost of living pressures for households in Britain.