Burnham's key ally brands ministers 'scared and lazy' over welfare reform as honeymoon ends with MPs returning
Lord O'Neill of Gatley has warned Andy Burnham that any capital gains tax rise would be "stupid" and risk pushing entrepreneurs out of Britain.Kemi Badenoch is reportedly reluctant to lose James Cleverly from her shadow cabinet, though she is expected to back his move to pursue the Conservative candidacy for the 2028 London mayoral election.
Lord Jim O'Neill, who declined an offer to serve as Burnham's chief economic adviser, has publicly attacked the Government's reluctance to cut welfare, warning that ministers are taking the "scared and lazy" route by looking at capital gains and inheritance tax increases instead. He urged Chancellor John Healey to rule out a CGT hike, calling it "stupid" given Brexit pressures and rising national insurance costs. Badenoch piled in, warning Burnham to "stop tinkering" ahead of his first Commons dispatch box appearance on Tuesday. Burnham also faces pressure to abandon his "growth in every postcode" pledge, with O'Neill insisting resources must be concentrated on London and the Northern Powerhouse.