Andy Burnham is set to abandon the controversial digital ID scheme, opting instead to allocate those resources to tackle the cost-of-living crisis head-on.

The incoming prime minister, Andy Burnham, has announced plans to scrap the controversial digital ID scheme redirecting the allocated funds towards addressing the cost-of-living crisis. This shift in focus marks a significant departure from the previous administration’s priorities and reflects a growing emphasis on immediate economic relief for citizens.
The digital ID scheme was initially proposed by Sir Keir ahead of Labour’s conference last year. The plan aimed to make it easier to clamp down on illegal immigration and modernize state services by enabling citizens to prove their identity quickly.
However, the scheme faced widespread opposition, with nearly three million people signing a parliamentary petition against it.
The Evolution of the Digital ID Scheme
The Office for Budget Responsibility estimated that the program would cost £1.8 billion over three years, a figure that Downing Street initially rejected.
In January, the government changed its approach, making the digital ID scheme voluntary instead of mandatory. The revised plan suggested that digital IDs could eventually allow people to manage various aspects of their lives, from childcare to tax returns through a single app.
Despite these changes, the Home Affairs Committee Chair, Dame Karen Bradley, criticized the government’s handling of the launch. In a report, she described the attempts to set out the plans as “nothing short of a fiasco,” raising concerns about government over-reach into people’s lives.
The Shift in Government Priorities
As Burnham prepares to take office, his spokesperson emphasized that one of the first actions of the new government will be to focus on people’s everyday priorities. Scrapping the digital ID scheme will allow the government to redirect resources towards addressing the cost-of-living crisis, a move that has been met with relief by many citizens.
Liberal Democrat MP Lisa Smart expressed her relief, stating that people would be “hugely relieved to know they are no longer set to be forced to hand over their data just to go about their daily lives.” She also highlighted the waste of taxpayers’ money that the digital ID scheme would have entailed.
Political Reactions and Future Plans
The decision to scrap the digital ID scheme has drawn mixed reactions from political opponents. Shadow technology secretary Julia Lopez accused Burnham of “trying to pretend he’s riding to the rescue” after Labour had already wasted millions on the project. She questioned whether Burnham was claiming credit for a decision that had already been taken.
In addition to the digital ID scheme, Burnham is expected to announce plans for new oil and gas drilling in the North Sea. While the details are not yet clear, the incoming prime minister is expected to uphold the Labour Party’s 2026 manifesto commitment to not issue new licenses but to honor existing ones. This could mean speeding up existing plans to drill more in the North Sea, where many oil and gas licenses remain largely undeveloped.
As Burnham prepares to take office, Conservative leader Kemi Badenoch warned that his plans for government are “airy fairy.” She accused Burnham of not being aware of “what the country’s priorities are” and stressed the need for a leader ready to “take tough decisions.”
