The government of new British Prime Minister Andy Burnham will cut taxes on electricity bills, Downing Street said in a statement on Tuesday, as he attempts to deliver on his promises to ease a cost-of-living crisis.
The British government is planning to remove the value-added tax (VAT) from domestic electricity bills from October 1, the statement said.
Read more: What is Andy Burnham's policy approach for Britain?
The cost of this action for this financial year will be funded from the cancellation of the government's £1.8 billion ($2.42 billion) digital ID programme, Downing Street said.
Burnham's office had said earlier that one of his first moves as Britain's next leader will be to scrap government plans for a digital ID scheme.
The digital ID programme is a plan for all employees to hold a digital identity document, a scheme designed to tackle illegal migration but deemed a "fiasco" by a cross-party committee of lawmakers.
As Britain's new Prime Minister, Burnham wants to move quickly to show British politics can work and improve living standards after years of stagnation.
Read more: Andy Burnham becomes Britain's 7th prime minister in a decade after Starmer resigns
"Westminster has not been working for people for too long, with families struggling with the cost of living," Burnham said.
"That needs to change," he added.
($1 = 0.7442 pounds)
