Progress Report: Starmer’s Government is Failing

Keir Starmer’s government has been disappointing. From decimating the foreign aid budget, to controversy over the winter fuel allowance, and now welfare cuts, Starmer has had a rough first year. It is depressing, looking on our first Labour government in over a decade. A limp-wristed approach to growth and reform, without much of a vision for a new Britain, or new Labour even.

With a massive influx of new MPs, many with very little experience (and an admittedly bleak economic situation left by the previous government), growing pains were expected. These issues, however, lasted far too long. Starmer has struggled to plant the Labour flag on any one policy, let alone stick the landing.

We know the speech by now, ‘Growing Britain’, ‘fully costed plans’, ‘building a strong economy’. The public had, upon election, a lot of time for the new Prime Minister. He was the change candidate. After five consecutive Conservative leaders built nothing, Cameron, Johnson, and Truss simply tore down the economy. Starmer provided us with an ounce of hope.

He, unfortunately, is no Barack Obama. Nearly a year into the new government’s agenda, the Prime Minister faced a devastating rebellion from his backbenchers. What was previously a communications issue, a struggle to show exactly what kind of Britain the PM wanted to create, has now escalated into something deeper. The recent welfare rebellion is an example of this. A government marooned by its MPs.

Yes, the country needs a productivity boost. Many regions are struggling to make a living. The Labour solution? Take benefits from the most vulnerable in society and push more people into poverty. This is not only an economic choice, but a political one. Fearing a break from their manifesto commitments, the government resists raising taxes, so they cut vital departments instead. International development was quick to go.

Effectively killing UK aid, the budget was reduced from 0.5% to 0.3% of GDP, all to increase our defence spending. Well, the Prime Minister recently had a rude awakening in the Netherlands. The NATO Chief, Mark Rutte, agreed that countries should increase defence spending to 5%, and Starmer signalled his support.

The Prime Minister said in his NATO conference that he would keep his manifesto commitments, not raising taxes on working people. This is fair enough, given the cost of living for families across Britain today. However, taxes on the highest earners and corporations may have to increase if the PM is actually going to increase defence spending to 5%, over double the current level. This cannot be funded with more unpopular, rebellion-prone cuts, if the government means to survive.

The main dissenter at the NATO summit was Spanish Prime Minister Pedro Sánchez. He pointed out that, by 2035, Spain would have to pay an additional €300 billion on defence, should they match the 5% spending commitment. Where is that money coming from? Cuts to education and healthcare, he predicts. Where will the money come from in Britain? More of the same.

Starmer clearly struggles with his priorities. What ought to have been handled months ago is dragged up again in the form of a u-turn. Winter fuel allowance first, now welfare reform. In hindsight, the cut is barely worth the paper it is written on. All that controversy for nothing. What we’re left with now is a limp and pointless plan for welfare “reform”, announced in the wake of the largest rebellion Starmer has faced. The Treasury is looking to save around nothing in the long term.

Starmer, with such a large majority, and a relatively new premiership, should be making tough calls. Radical changes pushed through with his abundance of MPs, rather than milquetoast tweaks to existing policies. In lieu of breaking manifesto commitments, the Chancellor and the Prime Minister are choosing cuts which do little for growth, and only lead to unpopularity.

Hopefully the welfare revolt is a wake-up call. More likely is the government chugging along, controversy after controversy, spending cut after spending cut, achieving nothing. If only they would do something, anything, to reclaim that sense of hope we once felt.