Labour members are gathering in Liverpool this week for the party’s first conference since its resounding win at the last general election. This should be a chance for them to celebrate after 14 years in opposition, but the challenges facing the new Government are likely to overshadow much of the merrymaking. With public finances looking tight ahead of the upcoming Budget and dissent already growing over Labour’s decision to remove winter fuel payments for millions of pensions, Keir Starmer could face a difficult time when it comes to keeping his party in good spirits.
Loose-Lipped Labour MPs
It’s not just the conference floor that you need to watch over the next few days, but also the myriad of fringe events covering everything from social housing to the Middle East. Panels often feature MPs, and many of the new intake will likely want to raise their profile by speaking at events that interest them.
These events are often a test of party discipline. Faced with strong questioning from the audience, many MPs and ministers might be tempted to stray away from the party line. With many difficult decisions ahead for the Labour Government, the last thing Starmer needs is a fresh-faced MP questioning the party stance or, even worse, a minister saying more than they should.
The party has made clear it won’t tolerate dissent, having removed the whip from seven Labour MPs who rebelled against the party over the two-child benefit cap. MPs going off script would be damaging enough for Starmer, but if the party is forced to eject any more of its members for going against the Government, it could raise serious questions about unity within Labour.
Fresh Winter Fuel Backlash
One topic which MPs and ministers might be pushed on during party conference is the Government’s controversial decision to start means testing winter fuel payments for pensioners. Calls have already been growing for Starmer to reverse the decision, with the boss of Unite union, Sharon Graham, calling the policy “cruel” on Sunday morning.
She told Sky News that the union plans to raise the issue at the conference this week, claiming that the Prime Minister had made a “misstep” and urging him not to “take this country down austerity mark 2”. “People voted for change. They need to see change. And he needs to reverse the winter fuel allowance [decision] and let people have that £300 so they can put their heating on this winter,” she said.
Graham has also previously accused Chancellor Rachel Reeves of “picking the pockets of pensioners” by cutting winter fuel payments. Unite is expected to force a vote on the issue on the conference floor, and any widespread opposition to the policy could put fresh pressure on Starmer to reverse it.
Doom and Gloom Conference Speech
Both Starmer and his Chancellor Reeves have repeatedly made the point that the upcoming Budget will involve many tough decisions. They have blamed the inheritance left by the Conservatives for the fact that the money is so tight, claiming they were left a £22bn black hole in the public finances by the previous administration.
Speaking to the BBC earlier this month, Starmer said his Government was “going to have to be unpopular” to deliver change. He seems to have got his wish, as recent polling figures show his popularity figures have plummeted since he took power. According to Opinium, half the public now disapproves of him, compared to 46 per cent disapproving of his predecessor Rishi Sunak.
This gloomy outlook doesn’t bode well for Starmer’s conference speech on Wednesday. Last year, the message was about taking the fight to the Tories and promising to build one million new homes in power. But this year, if his past comments are anything to go by, the outlook might not be as cheery once the celebrations of Labour’s election victory are out of the way.
Any repeat of the warnings of tough days to come could come back to bite Starmer amid fears his Government is preparing to tighten the public purse strings and is pushing a message that is far too gloomy. Reeves has been accused of talking down the economy with her repeated warnings that tax rises and spending cuts are needed in the upcoming Budget to help balance the books. This was widely blamed for a steep fall in the GfK consumer confidence index last week.
Questions Over Relations with Donors
The early days of Starmer’s administration have already been marred by questions over the relationship between donors and senior ministers. The Prime Minister has faced criticism for accepting, while he was leader of the opposition, more donated gifts and free tickets to events than any other MP since 2019.
There has also been scrutiny over the relationship between Lord Waheed Alli and senior members of the Government. It was revealed that the Labour peer briefly had a pass to No 10 after the election, having already donated £16,000 in clothes and £20,000 in accommodation to Starmer.
Education Secretary Bridget Phillipson also revealed on Sky News on Sunday morning that the £14,000 she was given by Lord Alli went towards two events for MPs and journalists, one of which was timed to coincide with her 40th birthday.
“This was an opportunity for people to come together, to have a reception where we can talk about, for example, issues around education. These kinds of things happen regularly. It was all declared in line with the rules and fully transparent,” she said.
Deputy Prime Minister and housing secretary Angela Rayner is also facing scrutiny for a “personal holiday” to New York that was funded by Lord Alli. Despite Labour’s message that these donations are within the rules, and Starmer, Reeves, and Rayner pledging to no longer accept free clothes, questions over the party’s relationship with donors don’t look likely to go away soon.
Escalations in the Middle East
In the weeks after the deadly attacks by Hamas against Israel on 7 October last year, Labour faced criticism for its response. Many in the party expressed anger over comments by Starmer in support of Israel and Labour’s refusal to back an immediate ceasefire between Israel and Hamas in Gaza.
This led to a major crisis for Starmer after 14 shadow frontbench ministers resigned to back a Commons motion calling for a ceasefire. With the first anniversary approaching, hostilities in the region are ramping up again between Israel and Lebanon. Israel has been blamed for planting exploding pagers and radios among members of Hezbollah, a terrorist organization backed by Iran, something which the nation denies.
The two sides have begun exchanging rocket fire across the border over the last week, and Israel’s President Isaac Herzog told Sky News on Sunday that there is “clearly the potential of escalating dramatically”. If an escalation takes place during the conference, fresh scrutiny could be placed on Labour’s stance on conflict in the Middle East and its response to the humanitarian situation in Gaza.
