Andy Burnham used his first Commons appearance as Prime Minister to signal that a revaluation of council tax could be on the way, warning that a system still based on 1991 property values "is not going to deliver fairness across the country." The remarks, made in response to a Labour backbencher's call to scrap the "hated" council tax system, raise the prospect of significantly higher bills for homeowners in London and the South East, where property values have risen fastest over the past three decades, while potentially easing costs in northern areas such as Hartlepool.

Burnham stopped short of committing to full reform, saying "wholesale reform might have to wait for another day" and that he wanted to "proceed with consensus," but noted the Budget had already taken "first steps." He has previously indicated support for a Land Value Tax, and modelling by Tax Policy Associates suggests an annual charge of 1.28 per cent of land value would roughly replace existing council tax and stamp duty revenue; under this illustrative model, a band F flat in Islington could rise from £2,900 to £12,000 a year, a band H home in Kensington from current levels to £54,000, and average house prices in areas such as Richmond-upon-Thames could fall by around 19 per cent, while bills in cheaper areas such as Hartlepool would fall relative to expensive boroughs like Westminster, which currently pays just £1,048.