Andy Burnham 'to impose new income tax on workers' to fund social care plans

By GB News (Politics) | Created at 2026-07-29 06:57:06 | Updated at 2026-08-05 03:17:03 6 days ago

Andy Burnham could impose a new tax on workers to fund the estimated £18billion social care bill.

The plans, currently being developed by civil servants, would require workers to make contributions to a privately managed fund to pay for care later on in life.


Some of the proposals include a new income tax, which would be set at 1.8 per cent of earnings over £6,240, imposed on working people above the age of 34.

The money would be invested on behalf of workers to be used to fund social care when they require such support.

Richer elderly people, who will be subject to the new tax, would pay between 10 and 45 per cent of their own care costs, depending on the value of their wealth.

Officials in the Department for Health and Social Care began drawing up proposals last month after Mr Burnham announced he would make fixing social care a top priority during his time at No10.

He said he would use "whatever political capital" he has to reform social care in England, saying he would have a "conversations with the public" about how it would be funded.

The Prime Minister also pledged to put politics aside, inviting opposition leaders Kemi Badenoch and Sir Ed Davey to meet today to discuss reforming social care.

However, he did not extend the invitation to Nigel Farage, to which Reform's leader accused Mr Burnham of "conspiring behind closed doors with the failed political establishment".

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Robert Jenrick 'not surprised' Andy Burnham has snubbed Nigel Farage on social care meeting

Reform UK's Treasury spokesman Robert Jenrick has said he is not "surprised" Andy Burnham did not invite Nigel Farage to the cross-party meeting on tackling social care.

Writing on X, he said: "I’m not surprised that Andy Burnham hasn’t invited Nigel Farage. If he had, Nigel would have told him he’d fight this tax rise all the way.

"That Ed Davey and Kemi Badenoch are going along with this tells you all you need to know about their parties.

"Andy Burnham has no mandate to tax the life savings of hundreds of thousands of families.

"So instead of having the decency to ask the public if they’ve changed their mind about a policy they’ve rejected four times, he’s conspiring behind closed doors with the failed political establishment to foist it on the country.

"If we need to, Reform will stand alone to fight this cruel tax. Nigel and I will not see millions of families betrayed like this."

Ed Davey suggests cap on private firms' profit from social care 

Sir Ed Davey has floated new regulation to cap how much profit private firms can rake in from social care, saying he has no issue with providers making money, just with some charging "ridiculous amounts."

The Liberal Democrat leader, whose son needs full-time care, argued the sector needs proper rules to stop taxpayers and families being overcharged, saying it "has not been looked at properly".

Speaking to the BBC, he said care should be funded through a mix of general taxation and contributions from those who need it, adding that better-supported families could pay more towards costs.

He said his party would be prepared to back proposals from Andy Burnham to reform social care.

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