What will PM Andy Burnham do to London: Tax rises, house price falls, job cuts and less inequality?

Andy Burnham is set to walk through the No10 door on Monday having promised "the most significant change moment in our politics for 40 years".Andy Burnham who was made Labour Leader in a ‘coronation’PAAs he prepares to meet the King to be invited to form a Government after Sir Keir Starmer’s resignation, the former Greater Manchester Mayor’s rhetoric has set sky-high expectations.On his return from Buckingham Palace, Mr Burnham is set to deliver a speech in Downing Street setting out his domestic priorities.He is due to stress the need for political stability to deliver tangible improvements in people's lives and to conclude on a message of optimism that Britain can once again look to the future “with hope and unity”. But there are few details yet of how he will deliver his blueprint for Britain when confronted by the torrent of hard choices in Government.Here are some areas where his plans could have a major impact on London:TaxesMr Burnham has signalled that he may raise taxes on wealthier households to lower them for the less well off.He has committed to sticking to Labour’s 2024 general election mainfesto not to increase the rates of income tax, VAT or National Insurance contributions for employees.But he has also said on tax that his Government "might be having to ask for a little more" as it seeks to plough billions more in public spending to boost Britain’s regions.Andy Burnham previously backed replacing council tax and stamp duty with a new levy based on the value of propertiesPA WireSuch a move would involve a major revaluation of properties, so alternatively he could lower the threshold for paying the “mansion tax” from £2 million to £1.5 million, cut the threshold for paying the 45p top rate of income tax, increase levies on banks, or introduce a form of wealth tax.He has pledged to overhaul business rates, including higher taxes on out-of-town warehouses for online giants such as Amazon, to help pay for cuts to rates for hospitality and other high street businesses.House pricesIf Mr Burnham did press ahead with a new property tax, some form of land value tax or similar, then some reports suggest it could knock 20% off house prices.Read MoreHouse prices have already been falling in London for months and thoughts of further drops are likely to alarm many homeowners, especially with large mortgages.House prices have been falling in LondonAFP/GettyHis case is that if there is less migration to London from the North, Midlands and other regions, as their economies pick, there will be less upward pressure on housing costs in the capital, less transport overcrowding and other strains on the city.Job cutsPeckham MP Miatta Fahnbulleh, former head of the New Economics Foundation, has suggested central Government will be “far smaller” and play a more “strategic” role in future.Andy Burnham says he will move jobs out of WhitehallLondon actually has one of the lowest proportion of public sector workers per population, partly given its large private sector.It is not yet clear how Mr Burnham’s plans will impact on private sector jobs, and some bosses are nervous given the damage inflicted on businesses by Chancellor Rachel Reeves’ £20 billion hike in National Insurance contributions for employers.InequalityMr Burnham has vowed to govern for the whole of the UK but with a specific focus on helping left-behind communities.After being re-elected to Parliament, he said he would be guided on this by his “Makerfield test”, named after the seat he had just won.London, though, has the highest unemployment in the country, at 6.6%, according to the Office for National Statistics, compared to 5% in the North West, and 2.9% in the Wigan area which includes part of the Makerfield constituency. Alexandra Road Estate In North London In Pictures via Getty ImagesAt the same time the capital has huge wealth in what has been slammed as “grotesque” inequality.It is not yet clear how levelling up London’s deprived communities will be part of Mr Burnham’s plans.TransportSir Sadiq stressed: “It's crucial that the new Labour leader invests in every part of the country.“This includes London, which is central to delivering for the rest of the country.”Sir Sadiq Khan has urged Andy Burnham not to reduce investment in LondonPA WireBosses in the capital have also urged Mr Burnham to back airport expansion at Heathrow, Gatwick and Luton airports, as well as the Bakerloo Line and DLR extensions.Housing crisisAs part of of Mr Burnham’s devolution of power, Sir Sadiq is set to get more power over housing and education.The capital could see more radical action to get more council, affordable and other homes built.As mayor, Mr Burnham championed improving conditions for renters in Manchester, signing an open letter a few years ago to the Government calling for a freeze on private sector rents.Thames Water scandal But nationalising the stricken utility may leave the taxpayer having to pick up a bill of £20 billion.So, the new Government may decide to put Thames Water into a Special Administration Regime to keep supplies flowing while a new buyer is sought, though even that could cost £2 billion.Heathrow third runwayMr Burnham warned eight years ago that expanding Heathrow could “suck more activity and investment into the capital and leave the North waiting even longer for its promised Northern Powerhouse”.A plane coming into land at Heathrow airport over nearby housingGettyFormer Transport Secretary Louise Haigh and Net Zero Secretary Ed Miliband, who are both expected to play key roles in his Government, have previously stressed that a bigger Heathrow must meet climate change and air pollution tests.Some unions support expanding the west London airport.