Commentary| The labour party crisis after Starmer

Said Shehata , Monday 29 Jun 2026

It is not only about the party leadership, but also the policies which have become unpopular amongst a wide sector in the British community. Keir Starmer, the prime minister, resigned after pressure from inside and outside his party. There are several reasons for him to be forced to resign.

UK
Britain's Prime Minister Keir Starmer (C) speaks as he hosts a roundtable with the hospitality industry at 10 Downing Street in central London on June 29, 2026. AFP


He was repeatedly criticised by the leader of the opposition and the leader of the Conservative party, Kemi Badenoch, as a weak prime minister and she described him as the U-turn prime minister because he withdrew several draft laws regarding welfare system and others to appease his backbenchers. For example, he changed his mind about reforming the benefit system which has been in a chaotic position and needed radical change because of opposition from some of his party MPs.
In addition, The labour party lost massively in May local elections as well as the parliamentary election in both Scotland and Wales. Starmer raised taxes on farms’ owners as well as businesses through increasing the National Insurance Number contributions on employers. Those policies contributed to less employment and less economic growth.
Moreover, ordinary citizens are upset because of putting more money to people who do not work and abusers of the system over the defense investment plan. This led to the resignation of the Defense Secretary, John Healey. Healey said that the prime minister had been unable and the Treasury unwilling to commit the resources that the nation needs to defend the country at this time of rising threats. The benefit budget is about 24% of the government budget, about 303 billion pounds. In this context, Pat McFadden, the Work and Pension Secretary, wrote in a leaked WhatsApp message with Lord Peter Mandelson that in every meeting he has with labour MPs the talk is about who can we tax in order to pay benefits to others. He added those MPs are asking the wrong questions. Hard working British people are frustrated that their taxes go to people who do not work in unfair way at the expense of public services.  
Moreover, a report was recently published by the government shows more than 1 million young people between 18-24 years old who live on benefit and not contributing to the economy. This is the highest level in more than 12 years.
Furthermore, the labour’s immigration policies are seen as soft and encouraging smugglers and illegal migrants to come by boats from France to the UK. Reforms proposed by the current Home Secretary, Shabana Mahmoud, were blocked by the labour backbenchers in the parliament. So, the number is on the rise and the government cannot stop the boats. The Reform UK party, who won in the local elections and its popularity has risen, pledged to detain and deport those coming by boats to France. Although the net migration was reduced to 171,000 persons in Dec 2025 from 331,000 reported in 2024, more people who pay taxes left the country and on the other direction more people coming in put pressure on the benefit budget and services. And some of those migrants committed crimes which angered the British community. Recently, the Home Secretary said the government would allow organisations like universities, community groups and businesses to sponsor refugees who applied to come to the UK, a model based on Canada’s asylum system. The Conservatives said no extra people should be let into the country until illegal immigration was stopped while Reform UK said it would reverse the scheme if elected to government.
The National Health Service (NHS) needs investment and no enough money was provided to it and this has been causing delays and long waiting lists on the NHS. The Starmer’s government has been accused of putting resources in the wrong pot. It should put the money in the Police, NHS, defense and other services rather than welfare budget.
Moreover, the labour has been criticised because of its Net Zero Carbon policy. This policy costs the UK too much money and it comes at the expense of the growth of the British economy according to critiques from opposition parties. Instead of drilling in the North Sea and extracting oil and gas, the UK imports from Norway and Russia. Calls on the government to get the oil and gas from the North Sea will provide about 25 billion pounds in taxes as well as it will give Britain an independent energy source.
Starmer changed his mind regarding important issues, so his leadership was one of the main reasons for his downfall, but the Labour’s policies contributed as well to his departure after about 2 years of his reign.
After Starmer, there will be new leadership and the potential successor is Andy Burnham unless someone else contests the leadership elections by 9th July. If Burnham wants to reverse the rising opposition to the Labour and overcome the current crisis of his party, he should change policies with regard to immigration, stopping illegal migrants coming by boats from France, lifting the ban on dextracting gas and oil from the North Sea, increasing the defense spending, putting more money on NHS, encouraging businesses through reducing taxes and reform the welfare system.
It can be argued that this is unlikely to happen since Burnham is a left-winger, so his policies, especially with regard to benefits and immigration will not be different from his predecessor. Those policies are viewed by opposition and a wide sector in the British community as harmful to the British social fabric as well as the economic growth.

 

The writer is a Lecturer in Middle East Politics and International Relations-UK.

 

 

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