Burnham's electricity VAT cut funded by cancelling a scheme the OBR says was never funded

Burnham's electricity VAT cut funded by cancelling a scheme the OBR says was never funded

Downing Street said removing VAT from household electricity bills would be paid for by axing digital ID cards. But the OBR's November 2025 outlook stated "no explicit provision has been made for its £0.6bn annual cost." Cancelling unfunded spending may not release real headroom — complicating the new government's first fiscal claim.

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