What the New Labour Government Could Mean for Your Finances
With Keir Starmer's Labour Party winning the 2024 UK election, several proposed changes could impact UK consumers' personal finances. Tom Church, Co-Founder of LatestDeals.co.uk and renowned consumer expert, examines what these policies might mean for your wallet.
Potentially Lower Energy Bills with Great British Energy
Labour plans to set up Great British Energy, a new publicly owned energy company. They propose a £6.6 billion investment to upgrade homes with better insulation and energy-saving measures, which could reduce energy bills. However, the effectiveness of these upgrades and the actual reduction in bills remain to be seen.
More NHS Appointments and Healthcare Improvements
Labour aims to deliver two million more NHS appointments each year by extending working hours for NHS staff and utilising private healthcare to reduce backlogs. They also plan to double the number of MRI and CT scanners and recruit 8,500 new mental health professionals. While these measures could improve access to healthcare, the implementation and actual reduction in waiting times will be critical to watch.
Education Reforms and Tax Changes
Labour proposes to close the VAT loophole for private schools, raising funds to improve state schools with more teachers and mental health staff. They have also pledged not to increase income tax, national insurance, or VAT. Although these changes are aimed at creating stability, the actual impact on school funding and household finances will depend on how these policies are executed.
Affordable Housing Initiatives
Labour intends to reform planning rules to build 1.5 million new homes, which could ease the housing market and make homeownership more affordable. However, the speed and efficiency of these reforms will determine their success in addressing housing shortages.
Public Transport Enhancements with Great British Railways
Labour plans to nationalise train operators under Great British Railways to improve service reliability and affordability. While this might potentially reduce commuting costs (I doubt it), the transition to public ownership and its impact on service quality need careful monitoring.
Environmental Protections
Labour aims to impose stricter regulations on water companies to prevent pollution and enforce severe fines for environmental damage. These measures are designed to protect consumers from potential cost increases due to environmental clean-up operations, but the actual enforcement and effectiveness of these regulations remain uncertain.
Support for Working Families
Labour’s proposed economic policies include a fiscal lock for economic stability and a genuine living wage. Additionally, they plan to introduce free breakfast clubs in every primary school to support working parents. These initiatives could provide financial relief, but their long-term sustainability and impact on family finances will depend on the government's ability to deliver on these promises.
Tom Church comments, "The new Labour government's proposed policies have the potential to bring financial relief and stability to UK households. However, it’s important to approach these changes with cautious optimism and keep an eye on how effectively they are implemented.”
They aught to cut out the ‘spikes’ in holiday prices so that it is constant throughout the year, to minimise absenteeism in schools.
Improve the way illegals can get into the country and receive benefits, housing and healthcare
btrustram This seriously needs sorted,sooner rather than later.They are draining us
And so it begins the book of tall tales by the Labour party, we will do this and that in a month's time ?
Guys, lets give them a chance before critising their pledges. Nothing will happen overnight & your crazy if you expect it to. They can't make things much worse because the Tories ensured we lost the GREAT prefix for Britain years ago.
Give them time! They've made it quite clear they're going to let all immigrants in but process them faster. That means the home office will only have one stamp, "Approved". That's also why they say they're building 1.5 million houses, to put them in.
hahaha do you honestly believe a single word coming out of this man's mouth? (SIR Keir Starmer). A middle-class bloke who pretends to care about the working class! I didn't vote yesterday, and I have never voted in my whole life in a general election.
I'm so glad to see the back of the tories but have no hope that Labour will be much better but I think they would struggle to be any worse. I'm hoping for a marginal improvement. Labour this time around sounds quite responsible and their goals are not super ambitious for this term of government.
The thing that worries me a bit is for example the new chancellor is highly educated and Starmer himself is very capable. However people like Angela Rayner are not well educated and really shouldn't be given such a high position in the government. I'm not knocking her council estate origins I'm questioning her education level for her role. I personally think we need to ensure politicians are educated to a very high level with economics being one of the required academic qualifications.
I expect a plumber, doctor, scientist, accountant all to have the relevant skills and don't agree with the view that politicians can come from any background even if they are very poorly educated. I think people controlling the finances of the country and making difficult financial choices should have the relevant skills.
One thing that has happened in the past is we get a labour government so people think wages go up because of it and when they don't people strike etc so we end up with a period of industrial action. Labour are faced with a horrific financial situation mainly caused by the years and choices of conservatives but partly due to Blair and Brown years too. Debts went up the highest rate in the Brown period of government however debts have been increasing since the late 70s early 80s and with compound interest have got to staggering amounts today.
I thought we weren't allowed to discuss politics on here? But either way, I will believe those things when I see them.
LauraSmith81427 I agree with you 100%. It will not happen, and the labour leader/prime minister will blame 14 years of previous mismanagement.
Is it too good to be true? Are the houses been built for the immigrants we all ready have here, and what are us plans regarding the immigrants??
I'm expecting slow and small improvements and as is typical of political parties there will be some stupid ideas they shouldn't have implemented and some good ideas they should of. There is still no mention of policies to reverse our trading deficit and start paying off our huge debts which surely should be the number one priority in order to improve our country realistically in the years ahead. If they are still borrowing then our situation only gets worse.