There were optimistic promises of economic stability, a housing revival, NHS reform, green investment and a tougher immigration stance with a pledge to “smash the gangs”.
As Sir Keir Starmer’s Government marks its first full year in office, The i Paper has assessed how far Labour has come in delivering on the core pledges of its 2024 manifesto — and what challenges lie ahead.
Chancellor of the Exchequer Rachel Reeves poses with the red Budget Box as she leaves 11 Downing Street, in October last year to present the Autumn budge (Photo by Justin TALLIS / AFP)
Progress so far: Since Labour came to power, UK growth has been practically stagnant, aligning with the G7 average, with 0.7 per cent growth in the first quarter of the year, followed by a 0.3 per cent contraction in April. Inflation dropped slightly to 3.4 per cent in May from 3.5 per cent in April, but remains above the Bank of England’s 2 per cent target.
When asked about Labour’s handling of the economy, 54 per cent of respondents said the Government has done a bad job, while only 21 per cent said it has done a good job.
While the Chancellor’s tight fiscal rules that day-to-day spending will not be met through borrowing but by taxation, and a pledge not to raise income tax, employee national insurance or VAT, has gone down well with the financial markets, it has limited her room to manoeuvre.
Challenges ahead: Within only a year under their belts, it might be hard to tell how much progress Labour is making on improving the economy.
“They could have been reforming taxes. That’d be one of the ways that you could drive up growth, and that is just a missed opportunity,” she told The i Paper.
The Chancellor also has the added pressure of the recent U-turns on winter fuel and welfare reforms, the cost of which has eaten into the headroom she will have at her autumn budget. With less money to play with, she might struggle to fund growth-promoting measures later this year.
Housing
Keir Starmer and Angela Rayner during a visit to a housing development in South Ribble in Lancashire (Photo: Peter Byrne/PA Wire)Manifesto pledge: “Reform our planning rules to build the railways, roads, labs and 1.5 million homes we need and develop a new 10-year infrastructure strategy.”
The annual total fell to 225,067, 7 per cent below the prior year and far short of the 370,000 needed to stay on track for 1.5 million homes.
Challenges ahead: The scale of the housing crisis and the slow pace of change pose serious challenges for Labour in its 1.5 million home goal.
“With so much ground to be made up, the Government’s existing planning reforms look relatively modest, and scope remains for more radical reforms that would speed up the new homes sorely needed across the country,” he said.
Verdict: Labour has outlined ambitious housing targets, but actual planning approvals have dropped sharply. The public still trusts Labour more than its rivals on housing, but results are limited so far. Without faster action, the 1.5 million homes pledge is unlikely to be met.
Keir Starmer and Health Secretary Wes Streeting meet a patient as they visit Bassetlaw Hospital Nottinghamshire to launch Labour’s Plans to clear the NHS backlog in June 2024 (Photo by Cameron Smith/Getty Images)
Progress so far: NHS England figures show that the total waiting list fell from 7.42 million to 7.39 million, marking the first reduction in April in 17 years.
The public is yet to be convinced that things are changing. A recent Ipsos poll found that 65 per cent of the public have not found it easier to see a GP, while a similar proportion felt little progress had been made on cutting waiting times.
“These findings highlight the challenges facing the Labour government in convincing the public that they are making headway on their NHS pledges… The Government will need to demonstrate tangible improvements in NHS services to build broader public confidence,” she said.
However, as outlined in a recent briefing by The Health Foundation, difficult choices lie ahead.
“Any vision for the future needs to be combined with confidence it can happen.”
Verdict: The Labour government has achieved a slight reduction in NHS waiting lists, but performance still lags far behind key targets and is yet to reassure the public of progress. The forthcoming 10-year NHS plan will be central to addressing systemic pressures, but it must be matched with credible funding and prioritisation. Without that, Labour risks falling short on one of its most visible pledges.
Infrastructure
Keir Starmer talks to students from Sizewell at Suffolk New College in Ipswich, eastern England in June as the government said it will invest billions of pounds in the new Sizewell C nuclear power plant. (Photo by Kin Cheung / POOL / AFP)Progress so far: Labour has launched a £7.3bn National Wealth Fund, aiming to crowd in three times private capital, initially focusing on green steel, hydrogen, ports and gigafactories. As part of this, Starmer has promised to fast-track decisions on at least 150 major infrastructure projects by the end of this Parliament.
Great British Energy is now operational, with early strategy planning underway, and Ofgem has approved £24bn in funding for electricity grid upgrades, signalling institutional momentum.
“I think they’ve got a plan. They’ve got some sectors they want to encourage. I think now they have to focus on delivery,” she added.
Past projects, such as HS2, have encountered delays and cost overruns, undermining confidence in the Government’s ability to deliver complex infrastructure on time and within budget.
Immigration
Families and children board a small boat on July 02, 2025 in Gravelines, France.(Photo by Dan Kitwood/Getty Images)Manifesto pledge: “Reform the immigration and skills system to ensure Britain is developing home-grown skills with workforce plans to meet the needs of industries and the economy.”
Progress so far: Provisional estimates show 948,000 long‑term immigrants arrived in the UK in the year ending December 2024, with 517,000 emigrants, resulting in net migration of 431,000.
The Government released a White Paper on immigration in May 2025, outlining policy changes such as closing the Skilled Worker route for social care, stricter English language requirements, and longer residence periods before settlement.
Starmer also wants to return failed asylum seekers to third countries – so-called return hubs – but was embarrassed when Albania said it would not participate, despite the PM making his announcement there.
The number of people crossing the Channel rose sharply during the first year of the Labour government, with approximately 42,000 arrivals in the year ending 30 June 2025. This represents a 34 per cent increase from the previous year and is near the record levels seen in 2022.
Challenges ahead: Although net migration is declining, it remains high compared to historical norms and exceeds manifesto aspirations. The Government itself has admitted that the reforms will take several years to deliver meaningful reductions in migration totals.
The Government needs to balance its goals for developing local skills with concerns about immigration and labour shortages. Planning the workforce across industries is important, but it may be challenging to do so quickly.
Verdict: There is no doubt the government is serious about curbing immigration – if only to have a chance of reelection – but its “smash the gangs” policy has so far failed to stop the boats. Conservative-era curbs on student migration are starting to bite, but the government is realising just how difficult the challenge is.
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