Keir Starmer has launched a new challenge to the left wing of the Labour Party with his plan to tackle welfare fraud. The Prime Minister distanced himself in his speech at the national conference in Liverpool with the surprise announcement, criticized on the spot by prominent members of the old Labour guard like John McDonell: "Close your eyes and it sounds like you're hearing Conservative George Osborne in 2010."
Starmer has tried to give an optimistic turn to his highly anticipated speech, in which he promised to "renew the United Kingdom" and "rebuild public services." The Labour leader urged the British people to join "a shared struggle" in the coming years and anticipated that "there is light at the end of the tunnel."
The announcement of the plan against benefits fraud (aiming to save around 1.9 billion euros for public coffers) however reignited growing discontent within the left wing and unions, who have tried to push for a boycott of the recent cuts to pensioner benefits.
The Prime Minister arrived in Liverpool at a low point, burdened by the recent personal gifts scandal or freebies and with a popular approval rating of -13%, comparable to that of Conservative Rishi Sunak at the end of his term.
His attempt to turn around the polls has crashed against the increasing rifts within his own party amid fears of a new era of austerity, with drastic social cut measures that not even the Tories dared to take. His plan to combat welfare fraud was actually anticipated by a center-right newspaper, The Times.
"We will pass a social assistance law that addresses the issue of long-term sick leave and gets people back to work," Starmer anticipated. "We will make the most of every penny because we will root out waste and pursue those who evade taxes. We will leave no stone unturned."
It is estimated that around 2.8 million Britons are "inactive" citing illness and receiving welfare benefits. The number has significantly increased after the pandemic.
Starmer aims to give social services inspectors the same powers as tax inspectors, with the ability to access bank accounts and find out if benefit recipients have savings exceeding the "ceiling" of £16,000 (19,000 euros).
"This legislation will allow us to investigate cases where it is suspected that a social services recipient is not eligible for aid and will also help end the activities of organized gangs that exploit fraud," Starmer added.
The decisions of the Labour Prime Minister to cut public spending starting with pensioners and welfare recipients have put the left wing of the party on alert, demanding actions against tax avoidance and large fortunes.
"When you hear politicians talk about tough and painful decisions, and you hear the same rhetoric extending to social security, we are facing a replica of Conservative governments," warned MP John McDonnell, who was the economic right-hand man of former Labour leader Jeremy Corbyn.
The party apparatus has exerted strict control over the Liverpool conference and has been accused of silencing unions and attempting to suppress any elements of criticism or dissent against the Labour government, also criticized from the right for "cronyism" scandals (Lord Alli, the wealthy Muslim and gay figure at the center of the personal gifts scandal, paraded around Liverpool with his sneakers with total audacity).
Keir Starmer has tried to change the somber tone that has characterized his term so far with his final speech, but his attempt has not borne fruit. "Our project will be tough in the short term, but the decisions will be right in the long term and the country will benefit," he warned.
"I know people are exhausted with politics," he acknowledged. "And I know that the cost of living crisis has cast a shadow over our lives, and people want a break and relief, and maybe that's why they voted Labour."