A year of Labour in power - the report card, part I

We rank how Keir Starmer and the government is performing against a progressive agenda on the economy, NHS, housing and education and you give your ratings too

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Jul 03, 2025

Sir Keir Starmer with his wife Victoria arriving at Downing Street on July 5 last year Pic UKPrimeMinister/Flickr

Once Keir Starmer had dusted the remnants of the confetti bomb from his grey suit and measured up the Downing Street curtains, the brand new Labour government got to work.

Inheriting a battered economy, broken public services, and the uneasy hopes of a country that voted not so much with enthusiasm, but exhaustion, expectations were not particularly high – but the inbox was overflowing.

So: what’s actually changed? What has Labour achieved in its first year, and where is it still kicking the can down the road?

From cost of living to climate, housing to health, we’ve taken a red pen to the first report card and marked this centre-left government’s homework from a progressive perspective. We’ve also asked how readers of The Lead think Labour are doing - and included some of your ratings and comments below.

Some areas show promise. Others might just need a word with the headteacher.

And remember this is part I, the second part will land in your inbox on Saturday morning so make sure you’re signed up to receive it.

Economy & cost of living

Labour’s 2024 manifesto put economic growth front and centre, touting it as the key to prosperity. In the long run, this meant targeted investment through a National Wealth Fund, infrastructure spending, planning reforms, and a 10-year industrial strategy, as well as more than £100 billion of additional public capital investment. In the short run, cost-of-living support for voters, such as wage rises and mortgage guarantees.

On growth, mild optimism has faded, and disappointment remains. 0.7 per cent GDP growth early in 2025 may make us the fastest in the G7, but the gains are fragile, remaining sluggish in many sectors.

On cost of living support for voters, too many still feel squeezed by soaring energy bills, supermarket price gouging and housing costs. Public sentiment reflects this: 88 per cent say energy prices remain a serious concern despite government action.

And while Labour tries to tinker at the edges, recent global shocks, from rising oil prices to market volatility triggered by Donald Trump’s unpredictability, have repeatedly wiped out any fragile headway, leaving the chancellor considering that well-trodden and depressing path of austerity.

The problem is that Labour’s tax and spend plans are anything but radical, with only partial closing of loopholes and no bold moves on wealth taxes, council tax reform or ditching fiscal rules. This cautious approach risks maintaining managed decline.

In this turbulent world, only big, formative reforms to tax and spending can secure long-term growth, build resilience, and rebalance society. Without this, Labour’s progress risks being too incremental to stop the death spiral of our public services and economy.

The Lead says: Targeted support and a commitment to investment and industry was overdue, but a radical rethink of taxation is urgently needed to secure Britain’s economic future. 2/5

You say: “Labour seems to have forgotten their values. They should not be taking money from the poor, sick and vulnerable; they should tax the rich to add money to public services and welfare.”

“Increasing the minimum wage is to be applauded, but they have not gone far enough in tackling the big utility firms or reducing the costs of public transport.”

“There is a considerable amount being done, but the welfare bill and inability to tax the truly wealthy is not acceptable.”

Your score: 2/5

NHS and social care

Labour showed real commitment to the NHS from the start, with ambitious goals to reduce waiting times, expand the workforce and settle the ongoing pay disputes. The government has pledged £29 billion extra per year for the NHS, and there has been admirable progress on waiting lists and operations. It has also met its pledge of two million more GP appointments, signs of serious effort in a difficult environment. Just today, the government has published its 10-year NHS strategy, which has some ambitious moves towards prevention over treatment, demonstrating an overdue recognition of the link between socio-economic factors and the nation’s health.

Yet public confidence remains stubbornly low. Only about 8 per cent of people feel things are improving, highlighting ongoing staffing and capacity shortages. Much of this frustration isn’t entirely the government’s fault, but Labour has missed opportunities to showcase its achievements.

On the governance front, Labour’s plan to abolish NHS England signals a major structural shake-up designed to reduce bureaucracy and boost accountability. But the details remain hazy, and it’s too early to tell if and when this will deliver real change on the frontline.

Where the government falters is social care. The promised National Care Service has been punted down the road to an independent commission, with no immediate reforms or funding boosts in sight. While some progress has been made with Fair Pay Agreement pilots, the systemic recruitment crisis and chronic underfunding remain unaddressed.

One area to watch is the government’s growing reliance on private companies to help address NHS challenges. While investment and extra capacity are needed, poorly managed privatisation risks draining resources and weakening standards. The government must tread carefully and commit to upholding the NHS’s quality, standards, and its founding principle of care free at the point of use.

The Lead says: Good intent and some real progress, but failure to tackle social care reform leaves this vital sector adrift. 3/5

You say: “Their solution to the problems faced by the NHS is to bring in more privatisation. A Tory solution that will undermine rather than improve our NHS.”

“There are real efforts being made to improve the NHS, and I believe there is some genuine consultation. Ratings are tempered by creeping privatisation being very much a part of government plans.”

“The government has made some inroads on fair remuneration of NHS staff, but it's still not far enough.”

Your score: 2.5/5

Housing, planning and building

The party’s housing and planning offer was genuinely ambitious and remains a cornerstone of their election offer, tackling the UK’s housing and infrastructure crisis head-on with a mix of large-scale homebuilding, stronger tenant protections and overdue planning reforms.

Their flagship promise to build 1.5 million new homes by 2029 is bold, but delivery looks predictably tricky. Private developers are expected to fall short of their targets, while the country can’t wait much longer as house prices continue to rise and voters suffer.

Reforms, including restoring mandatory housing targets for councils and centralising strategic planning, show that Labour understands sorting out the planning mess is crucial. Unlocking “grey belt” land for new homes is a smart, pragmatic idea, so long as it respects environmental standards and local communities and the 10-year £725 billion infrastructure plan, featuring a National Housing Bank, signals a welcome long-term approach.

Labour also earns some marks for its Renters’ Rights Bill. Tenant protections, especially the ban on no-fault evictions, have long been ignored by previous governments, so this move puts the precarity of renters firmly on the agenda.

That said, Labour needs to go further: more social homes, tougher action on rogue developers, and stronger policies to tackle resistance to building. The government has also barely addressed the scourge of empty second homes or the increasing strain of holiday rentals in tourist hotspots. The ambition is there, but the progressive edge could be sharper: on this, Labour must stand up to vested interests.

The Lead says: Ambitious, but the government must put its money where its mouth is and continue to be bolshy with NIMBYs, developers and rogue landlords. 3/5

You say: “Abolish Right To Buy and give local government the power to borrow capital to build social housing”

“Investment in affordable housing at the spending review was welcome, but Labour are not doing enough to reform the private rental market”

‘What is their housing policy? They’re too busy copying Farage’s attacks on immigrants to spare any imagination or stimulus to provide affordable rented or first-time buyer homes for young families. The blight of empty properties second homes, and, worst of all, Airbnb, seems forgotten.”

Your score: 2.5/5

Education

On education, Labour’s plans offer some positive signals, but the reality is more complex. Flagship pledges to recruit 6,500 new teachers, alongside free breakfast clubs, the expansion of free school meals and a funding boost partly funded by a long-overdue tax on private schools are welcome. And credit where it’s due: Labour has held its nerve on this despite the likes of The Telegraph virtually throwing itself on the floor and having a tantrum in the middle of Waitrose. The expansion of funded childcare is also welcomed, though issues around accessibility and quality remain unresolved.

But while the top-line numbers sound impressive, the detail tells a tougher story. The planned increase in school funding amounts to just around 1 per cent real-terms rise in per-pupil funding each year, barely enough to keep pace with costs, especially once pay awards, SEND reforms, and free school meal expansions are factored in.

Retention and recruitment remain critical challenges, particularly in subjects like maths, science and special educational needs. Promises on workload reduction and incentives are positive, but won’t fix these issues alone — pay increases may be necessary.

Reforming Ofsted inspections to make them more supportive rather than punitive is a welcome move, but detail on implementation is thin. Meanwhile, the SEND crisis continues: though the government has announced funding for reform and plans to work with councils on deficits, this is just the start, and many families are still left waiting for meaningful change.

In higher education, though, the silence is deafening. Universities face growing financial pressure due to frozen tuition fees, rising costs, and tighter immigration rules, but Labour appears reluctant to engage with a sector crying out for support.

Overall, Labour’s education plans show progressive intent, but without more sustained funding and clearer strategies, its promises are at risk of failure.

The Lead says: A few bold ideas and the right instincts, but SEND, higher education and the recruitment crisis need more attention 3/5

You say: “Making public school fees subject to tax was a good move.”

“Teachers are still underpaid and children are not getting the education they deserve.”

“The lack of support for the HE sector feels like cowardice in the face of the populists. Universities/HE are a much bigger part of our economy (and cultural landscape) than fishing and steel, yet seem to be considered expendable."

Your score: 2.5/5

Law, Order and Justice

Starmer’s leadership began under fire — literally — when the summer riots erupted early in his tenure. His steady, law-and-order approach from Southport onwards put the government on a good footing with public backing, with his iron fist and condemnation of the rioters setting Labour on a path that balanced the needs of communities with law and order.

Look for progressivism and you’ll find it in Labour’s prison and sentencing reform push. The Gauke review is a shift towards rehabilitation over punishment, with ambitious plans to reduce prison populations and tackle reoffending through education, mental health support, and skills training. Appointing James Timpson as Prisons Minister was a shrewd move; his background in social enterprise brings a valuable understanding to the role. 13,000 new neighbourhood police officers by 2029 and expanded youth services also show a genuine attempt to address the root causes of crime, not just its symptoms.

But while police recruitment has improved and forces across England and Wales have received a 2.3 per cent funding increase year on year, frontline officers remain stretched and youth services are still under pressure.

The prison system is still in crisis, with overcrowding at dangerous levels, and the court backlog means thousands are trapped in legal limbo, challenges that risk undermining the government’s reform agenda unless tackled with urgency.

Then there are deeper concerns about the leadership’s attitude to protest. The decision to proscribe Palestine Action as a terror group has sparked serious questions about this government’s attitude to freedom of expression and the right to protest. Meanwhile, Human Rights Watch warned that the UK Government is “seriously undermining” democratic rights, especially the right to peaceful protest, for failing to roll back draconian anti-protest measures introduced under the Tories.

Overall, Labour’s approach to reform of criminal justice is rooted in evidence, showing a willingness to combine firmness with compassion. But the challenge ahead will be sustaining funding and political will, while actively resisting any drift toward authoritarianism.

The Lead says: Progressive instincts in reforming the justice system, but vigilance is needed to protect civil liberties, and this sector is crying out for more funding 2.5/5

You say: “Not happy about restrictions on protesting.”

“Damage done under the Tories to every aspect of law and order will require superhuman efforts to correct. I don't see anything of that nature being forthcoming at present.”

“The Government cracking down on the 2024 riots was exactly what they needed to do at the time, but I hoped that a Labour government would turn the tide of intolerance and racism. Instead, they seem to be pandering to Reform supporters in order to gain votes.”

Your score: 1.5/5 ■