Burnham’s £18billion ‘death tax’ nightmare: Fears PM will try to impose 10% levy on ALL inheritances to fund social care

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Burnham’s £18billion ‘death tax’ nightmare: Fears PM will try to impose 10% levy on ALL inheritances to fund social care

Daily Mail · 3 hours ago

Andy Burnham has refused to rule out backing a 10% "death tax" on all inheritances to help fund social care in England, fuelling speculation that the Prime Minister could look to inheritance reform to plug an £18billion funding gap. The suggestion has alarmed critics, who fear a flat levy applied across all estates would hit ordinary families far more broadly than the current inheritance tax system, which only applies above certain thresholds.

The report notes this comes alongside other signs of Burnham diverging from New Labour orthodoxy, including dropping the drive to send half of school leavers to university, and warning of "unfairness" that could see council tax rise for homeowners in the South. Opposition figures, including Kemi Badenoch, have seized on Burnham's rising profile to challenge Labour more broadly, including over its early-release prisoner scheme. No formal government proposal has been confirmed; the story centres on unresolved fears and political reaction rather than an announced policy.

  • Burnham won't rule out a 10% inheritance levy to fund social care.
  • Critics fear it could raise £18billion but hit all estates broadly.
  • Comes amid wider Burnham breaks from traditional Labour policy positions.

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