Chancellor John Healey is already facing challenges in his first Budget, expected on October 28, due to soaring energy prices stemming from the war in Iran. Pressures from unfunded policies announced since Mr Burnham took on his new role have also contributed to the potential issues. The Prime Minister, since entering No.10, has cut VAT by 5% on electricity bills, cut business tax for pubs, clubs, and music venues, and capped single bus fares at £2.

However, Cabinet ministers were warned this weekend by the PM and Chancellor that there are no new funds for their departments. The combination of the shortfall and geopolitical issues has raised concerns that further tax increases could be on the horizon.

In an interview with the Mirror, Mr Burnham assured that he is working to make life easier for Brits. He said he was 'looking across the piece' for ways to ease cost-of-living pressures.

“I think rail fares are too high, outrageously so in some instances. So that's something that's in my sights, the PM said.

“I mentioned VAT and electricity bills. It's a short-term measure at this moment, but let's see where we can go with that.

“Water is an issue as well, where I think the public pay high bills and they don't see that money then going into infrastructure. There's another area that needs reform.”

The Prime Minister acknowledged that the cost of living “remains a very tough time for people,” and said that he was “not giving people false promises”.

Mr Healey also insisted that he would not let supermarkets take advantage of the public by increasing prices significantly amid Iran tensions. Still, he emphasised that he could not “completely stop the squeeze” on families and businesses.

He said the Government would be "hands on" and that they would put “British interests first”, allowing breathing space to those feeling the financial pressures.