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Burnham Axes £1.8bn Digital ID, Elevates AI Minister

7/21/2026

36 4 Full Breakdown

Summary

Story summary

PM Andy Burnham will scrap the digital identity scheme on day one.
He will also elevate an AI minister to Cabinet rank.
The Office for Budget Responsibility (OBR) estimated the scheme would cost about £1.8 billion between 2026/27 and 2028/29.
Labour deputy leader Lucy Powell said the saved funds will ease living costs.
Conservative MP Julia Lopez accused Burnham of taking credit for a decision made after opposition pressure.

History

Historical Context

Tony Blair’s Labour government passed the Identity Cards Act in 2006, tying a new national ID to post-9/11 counter-terrorism and the 7 July bombings. The Conservative-Liberal Democrat coalition repealed the scheme in 2011 after only about 15,000 cards and £257 million spent. Today, Greater Manchester Mayor Andy Burnham’s decision to drop a £1.8 billion digital ID plan echoes that earlier reversal.

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Story summary

PM Andy Burnham will scrap the digital identity scheme on day one.
He will also elevate an AI minister to Cabinet rank.
The Office for Budget Responsibility (OBR) estimated the scheme would cost about £1.8 billion between 2026/27 and 2028/29.
Labour deputy leader Lucy Powell said the saved funds will ease living costs.
Conservative MP Julia Lopez accused Burnham of taking credit for a decision made after opposition pressure.

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