“The Left’s Last Chance: Can Burnham Deliver on Inequality?”

A recent report from Compass thinktank presents 70 policy options aimed at tackling inequality in the UK. This collection, compiled by Michael Jacobs and Neal Lawson, is being touted as a potential game-changer for Andy Burnham’s government.

Jacobs, a former adviser to Gordon Brown, brings gravitas to the discussion. Lawson’s proximity to Burnham suggests that this report is more than just a theoretical exercise. The authors argue that Burnham has an “invaluable aura of authenticity” but that doesn’t necessarily translate to policy chops.

One proposal stands out: introducing a wealth tax on net assets over £10m, which could raise an estimated £24bn annually and rebalance the tax system. This is not just about numbers; it’s also about principle. As Caitlin Boswell from Tax Justice UK notes, “If the new Labour government is serious about rebuilding public confidence and delivering material improvements to people’s lives, it must address one of the structural causes of inequality: a tax system that favors wealth over work.”

The report also calls for radical changes to social care, including free personal care for all. This isn’t just compassionate; it’s also pragmatic. Sebastian Rees from the Institute for Public Policy Research argues that this would improve lives and boost the economy.

Many of these proposals have been floated before without gaining traction. What sets this effort apart is Burnham’s genuine commitment to change. Jacobs notes that there are “wealth of alternatives” that don’t rely on moderation or orthodoxy.

However, not everyone is convinced. The Institute for Fiscal Studies has raised concerns about equalising capital gains tax with income tax, warning it could lead to a brain drain of wealthy individuals. But this is precisely the point: we can’t rely solely on trickle-down economics or assume wealth will magically redistribute itself.

This report isn’t just a menu of policy options; it’s a call to action. It reminds Labour that they still have a choice: to maintain the status quo or take a stand and try something new. Burnham knows all too well that the public is disillusioned with politics and angry with their politicians. He doesn’t have long to prove to voters that he means business.

The UK’s future hangs in the balance as Burnham decides whether to play it safe or tackle the root causes of inequality. Will he take a chance on these proposals, risking being seen as radical, or will he maintain the status quo? The clock is ticking, and the answer lies with Burnham himself.