Starmer asserts no changes to initial months as Prime Minister

Sir Keir Starmer maintained that he would not have acted otherwise, amid criticism from Members of Parliament regarding choices made during his initial five months in power. During a 90-minute questioning session, the prime minister defended alterations to farmers’ inheritance tax, increases in business taxes, and reductions in winter fuel payments. He stated that Labour “had to do tough stuff” to stabilize public finances, attributing this necessity to an “awful” inheritance from the Conservatives. He affirmed his continued commitment to achieving the highest “sustained” growth among G7 nations by the upcoming election. However, he cautioned that it could “take some time” for individuals to experience improved financial well-being, requesting patience for his economic stimulus plans. This statement follows the Bank of England’s report that the economy performed below expectations, showing no growth between October and December. Sir Keir established the G7 growth target in early 2023, over a year prior to his party’s return to power in July’s general election. Earlier this month, he introduced an extra objective to enhance living standards, which prompted some allegations that he was shifting the criteria by which his government wished to be evaluated. Nevertheless, during his initial appearance before the liaison committee of senior MPs since assuming office, Sir Keir reiterated his commitment to ensuring the UK achieves faster growth than other G7 members, including the US, Germany, and Japan, by 2029. When confronted with economic forecasts indicating this outcome was unlikely, he responded that these forecasts had not considered certain future policy adjustments. He referenced an increase in the legal minimum wage, unveiled in October’s Budget, as an illustration of how ministers were improving living standards. He further stated that modifications to the planning system, additional “regulations,” and emerging technologies like artificial intelligence (AI) would also contribute to enhancing the UK’s economic growth rates. However, the prime minister endured persistent interrogation from the select committee chairs concerning policy decisions that have met with disapproval from the opposition and, in some instances, from his own Members of Parliament. These include reductions to the winter fuel payment for pensioners, alterations to farmers’ inheritance tax status, and the freezing of the housing benefit amount available to private renters next year. When questioned by Meg Hillier, the committee’s Labour chair, on whether he would have acted differently during his initial months in power had he possessed his current knowledge, Sir Keir responded: “No.” He further stated, “We had to do tough stuff, we’re getting on with it.” Regarding his role as prime minister, he expressed being “pleased to be delivering from a position of power” instead of experiencing vote defeats in the House of Commons “every night” while in opposition. During another part of the liaison committee session, when asked about the timeline for people to feel more prosperous due to his government’s policies, the prime minister stated: “It will take some time, of course it will.” He elaborated: “The planning will take time. The change in regulation will take time, we’ve got a national wealth fund which is investing, getting record investment into the country, that will take time.” He added, “But already some of the lowest paid are already feeling the benefits of a Labour government through what we did in the Budget.” Labour has expressed grievances regarding the legacy it inherited from the Conservatives, which includes a contested £22bn “black hole” in this year’s spending plans. During the Budget, plans were unveiled to increase taxes, specifically the amount of National Insurance payable by employers starting next April. Ministers have maintained that this measure was essential to stabilize the nation’s finances; however, they have encountered opposition criticism arguing that the action will hinder efforts to enhance the UK’s economic prospects.