Burnham cannot just Spend Spend Spend, he must go for Growth, first Simplify our Tax System, here is why!  

The call to simplify the UK’s tax system is not simply about making tax returns easier. It is based on the argument that the current system has become so complex that it harms economic growth, investment, and public confidence.

In recent interviews, Andy Haldane, one of Andy Burnham’s economic advisers, argued that a future Burnham-led government should radically simplify the UK’s “stupendously complex” tax code.

The main reasons are:

Lower compliance costs. Businesses spend significant time and money understanding tax rules, claiming reliefs, and ensuring compliance. A simpler system would reduce these administrative costs.
Fewer loopholes. The UK tax code contains thousands of pages of legislation, exemptions, and special reliefs. Complexity allows individuals and companies to legally minimise tax through sophisticated planning, creating perceived unfairness.
Encouraging investment. Businesses often say they want predictable, straightforward tax rules when deciding whether to invest. Simpler taxes can make the UK more attractive to investors.
Higher productivity. Instead of spending resources on tax planning, accountants, and legal advice, companies could devote more time and money to expanding their businesses, hiring staff, and innovating.
Greater transparency. A simpler tax system makes it easier for people to understand how much tax they pay and why, which can improve trust in the system.

This does not necessarily mean lower taxes. Simplifying the tax code could involve:

removing or merging tax reliefs,
replacing several taxes with fewer, broader ones,
reforming property taxes such as council tax and stamp duty,
reducing special exemptions and allowances.

Burnham himself has also suggested that the UK should consider shifting some taxation away from work and towards property or land, while maintaining commitments not to raise the main rates of income tax, National Insurance, or VAT. He has also reaffirmed his commitment to the UK’s fiscal rules.

The challenge is political: every exemption or relief benefits someone. Simplifying the tax system usually creates winners and losers, so even if economists broadly support simplification, implementing it can be difficult because affected groups often oppose the removal of existing tax breaks.