Burnham Scraps VAT on Electricity, Names Cabinet

New UK Prime Minister Andy Burnham held his first cabinet meeting and pledged a 'cost-of-living government' after scrapping VAT on household electricity bills.

He appointed John Healey as chancellor, Ed Miliband as foreign secretary, and Wes Streeting as defence secretary, while also approving the use of UK bases for US strikes on Iran.

Burnham announced that single bus fares across England will be capped at £2 from January, a policy partly funded through changes to international climate finance schemes.

The new government is moving quickly to signal its commitment to easing the strain on personal finances.