Table of contents
Approximate read time: 30 minutes
The House of Lords is scheduled to debate the following motion on 16 July 2026:
Baroness Evans of Bowes Park (Conservative) to move that this House takes note of the Government’s record on education, employment and welfare since July 2024.
1. Key Points
- Since July 2024, the government has pursued policies intended to support growth, increase employment, expand educational opportunity and reform welfare.
- Education initiatives have included a pledge to recruit 6,500 additional teachers, expansion of early years provision, curriculum and assessment reforms, changes to school inspections and SEND reform proposals.
- The government has also introduced policies to reform post-16 education and skills, including the youth guarantee, apprenticeship measures and a wider strategy for post-16 education and skills.
- Labour market indicators show broadly stable employment rates over the last year but there are continuing concerns about the numbers of young people who are not in education, employment or training (NEET).
- Key employment measures have included increases to employer national insurance contributions, rises in the national living wage and minimum wage, and new workplace rights under the Employment Rights Act 2025.
- Welfare spending is projected to rise over coming years.
- The government has removed the two-child limit in universal credit (UC) and reduced the additional health and disability element of UC for most new claimants. However, it did not proceed with its proposals to reduce this for existing claimants and to tighten the eligibility criteria for the personal independence payment (PIP). Recommendations for reforms to PIP are expected in autumn 2026 from the Timms review.
Given the breadth of the debate topic, this briefing provides an overview of selected policies and developments since July 2024. It also provides links to other briefings that examine these policies in more depth with further commentary and analysis.
2. Education
2.1 Teacher recruitment
The government has committed to recruiting 6,500 additional teachers in key subjects by the end of this parliament.[1] It has said this commitment would apply to secondary schools, special schools, further education (FE) colleges, and FE school-based providers.[2] The pledge does not include primary schools, where the pupil population has been declining in recent years.
The government sets a target for the number of people entering teacher training each year, based on how many it expects to need in the future. Over the last five academic years, the number of secondary school teachers in training has fallen short of the annual target. However, since the end of the 2023/24 academic year, this gap has narrowed. In 2023/24, the number of secondary school trainee teachers beginning courses was 48% of the target.[3] In 2025/26, that proportion was 89%. Over the same period the gap between primary school teachers in training and the target has been narrower than for secondary school teachers, with the number of entrants exceeding the target in 2025/26.
Figure 1. New initial teacher training entrants and recruitment targets, England, 2019/20–2025/26

The government set out its plans for achieving its target for recruiting 6,500 additional teachers in February 2026.[4] It said the increase in recruitment would be supported by increasing school teacher pay and by improving workload and wellbeing management in schools. In June 2026, the government said 4,654 additional teachers had been recruited since the beginning of the parliament.[5] Of these, 3,008 had entered training to become teachers in secondary and special schools and 1,646 had entered training to become further education teachers.
In April 2025, the National Audit Office published a report on the teacher workforce in England which warned the shortfall in teachers predicted for 2028/29—between 8,400 and 12,400—was greater than the government’s recruitment target.[6] Further information on teacher recruitment is provided in the House of Commons Library briefing ‘Teacher recruitment and retention in England’ (2 February 2026).
2.2 Early years education
In July 2024, Education Secretary Bridget Phillipson committed to expanding the early years education system.[7] The government said it would create over 3,000 nurseries and would expand free childcare to 30 funded hours.[8] This would be supported through a dedicated capital funding programme to enable the building of nurseries in schools.
In September 2025, the government announced 300 schools had received funding during phase 1 of this programme.[9] It said this would create up to 6,000 new nursery places, the majority of which would be available in the 2025–26 academic year. The government said that phase 2 of the funding programme would provide additional places available for the 2026–27 academic year, to be followed by a further third funding phase. It also said funding awarded during phase 2 would be more targeted towards places that are disadvantaged.
In May 2026, the Sutton Trust and the Social Market Foundation published a joint report which argued the newly funded school-based nurseries had lower levels of free school meal eligible children than existing ones.[10] The same report also found that 70% of the schools they had interviewed said they were unlikely to set up on-site nurseries.
In addition to the pledge to increase nursery provision, since taking office the government has announced the following policies for supporting early years education:
- In December 2024, the government announced it would ensure 75 percent of five-year-olds reach a “good level of development” in the early years foundation stage assessment by 2028.[11] Further information on early years foundation stage assessments is provided in the House of Lords Library briefing ‘Ready to learn: Increasing the number of five-year-olds with a good level of development’ (23 April 2025).
- In July 2025, the Department for Education (DfE) published its early years strategy entitled ‘Giving every child the best start in life’.[12] This included a commitment to review how early years funding is allocated. It also included a commitment to establish ‘Best start family hubs’ in every local authority in England, supported by a new national ‘Best start digital service’. The government said these hubs would provide professional support for families “from conception through to the early years”.[13]
- On 6 July 2026, the DfE launched a consultation on proposals to change the early years funding system.[14] This consultation is scheduled to close on 14 September 2026. The proposals include changes to the way special educational needs and disabilities (SEND) funding for early years education is allocated and changes to local funding rules for local authorities.
Further information on government funding for childcare providers in England is provided in the House of Commons Library briefing, ‘Early years funding in England’ (18 June 2026). In October 2025, the House of Commons Education Committee launched an inquiry into government proposals for improving early years education.[15] At the time of writing, the inquiry has finished taking written evidence but has yet to publish its report.
2.3 National curriculum
The Labour Party 2024 election manifesto included several commitments relating to the national curriculum in England. These included the establishment of an “expert led” review of the curriculum and assessment, which would “consider the right balance of assessment methods whilst protecting the important role of examinations”.[16]
The government established a curriculum and assessment review in July 2024 following the general election.[17] The curriculum had been last reviewed under the coalition government in 2011.[18] The final report of this review was published in November 2025.[19] Its recommendations included the establishment of a new vocational pathway for students called V levels to sit alongside A levels (the academic route) and T levels (the technical and occupational route). It also recommended the removal of the EBacc performance measure for schools in England. The EBacc tracks the achievement of pupils who have gained key stage 4 (GCSE-level) qualifications in the following subjects: English language and literature, maths, the sciences, geography or history, and a language.
The government has responded to the review and confirmed a revised curriculum will be published in 2027, for first teaching in 2028.[20] This includes implementing the review’s proposals for introducing V levels and abolishing the EBacc. Shadow Education Secretary Laura Trott welcomed some of the proposals but was critical of measures including the decision to end the EBacc, which she described as a “backwards step”.[21] Further information on the government’s national curriculum review is provided in the House of Lords Library briefing ‘National curriculum and assessment review’ (20 March 2026).
2.4 School inspections
The manifesto also included a commitment to “enhance” the school inspection regime by requiring Ofsted reports to provide a more complete picture to parents of school performance.[22] In September 2024, Education Secretary Bridget Phillipson announced the government would end the practice of giving ‘headline grades’, whereby schools are given one- or two-word overall effectiveness judgements by Ofsted.[23] Ms Phillipson said the government would instead introduce a report card system which she said would provide more detailed information concerning how schools are performing. In September 2025, Ofsted published details of the report card system for school inspections and confirmed they would be introduced from November 2025.[24]
In December 2024, the government introduced the Children’s Wellbeing and Schools Bill. The bill included proposals intended to ensure more independent schools are subject to regular inspection. It also included proposals for Ofsted to inspect multi-academy trusts at the trust-wide level rather than just individual schools. The Children’s Wellbeing and Schools Act 2026 received royal assent on 29 April 2026. Further information is provided in the House of Lords Library briefing ‘Children’s Wellbeing and Schools Bill’, (3 April 2025).
2.5 Post-16 education and the youth guarantee
The Labour manifesto included a commitment to produce “a comprehensive strategy” for post-16 education.[25] As part of this strategy, it said it would improve access to universities and guarantee training, an apprenticeship, or help to find work for all 18- to 21-year-olds.
Following the election, the government said it would introduce a youth guarantee for all young people aged 18 to 21.[26] The proposals concerning how this guarantee would be implemented were initially set out in the government’s ‘Get Britain working’ white paper published in November 2024 and have subsequently been revised.[27] The youth guarantee currently includes:[28]
- Jobs guarantee. This provides six months of paid work to eligible 18- to 21-year-olds who have been receiving UC and looking for work for 18 months. The government has committed to expand this to 18- to 24-year-olds from autumn 2026.
- Youth jobs grant. Businesses will receive £3,000 for every young person they hire aged 18 to 24 who has been on UC and looking for work for six months.
- Apprenticeships measures. The government has introduced measures to improve take-up of apprenticeships, including the introduction of foundation apprenticeships and a financial incentive of £2,000 for new employees aged 16 to 24 taken on by a small or medium sized enterprise.
- Improved education and careers support. This includes guaranteed college or further education places, dedicated support sessions for young UC claimants and investment in youth hubs that provide work coaches.
Further information on the youth guarantee is provided in the House of Commons Library briefing ‘Youth guarantee’ (10 July 2026).
In October 2025, the government published the post-16 education and skills white paper.[29] This included a commitment to provide £1.2bn of investment per year in skills by 2028/29 to maintain per-student funding for 16- to 19-year-olds in real terms. The government also said it would legislate for automatic tuition fee rises in line with forecast inflation and that it would review the provisions of adult essential skills which support adults aged 19 and over to improve their skills in English, English for speakers of other languages, maths, and digital skills. Further information on the proposals in this white paper is provided in the House of Commons Library briefing ‘The post-16 education and skills white paper’ (10 December 2025). The House of Lords Library briefing, ‘Affordability and quality of higher education’ (29 June 2026) also provides further information on the government’s policies on higher education outlined in the white paper.
2.6 SEND provision
The government has committed to increase support for children with SEND and their families.[30] The Labour Party manifesto said that, in government, Labour would “take a community-wide approach, improving inclusivity and expertise in mainstream schools, as well as ensuring special schools cater to those with the most complex needs”.[31]
The government’s 2026 schools white paper included plans to reform the system of support for children and young people with SEND needs.[32] At the same time, it launched the consultation ‘SEND reform: Putting children and young people first’. Measures proposed included an emphasis on making every school, nursery and college an inclusive setting in order that children with SEND needs could attend mainstream facilities. The government said this would be supported through the introduction of national inclusion standards, the provision of national SEND training for teachers and the requirement for each school to publish a legal inclusion strategy.[33] The consultation closed on 18 May 2026. At the time of writing the government has yet to publish its response.
Further information on the proposals for reforming SEND provision is provided in the House of Commons Library briefing ‘The schools white paper 2026: Special educational needs and disability (SEND) reform’ (4 March 2026) and the House of Lords Library briefing ‘House of Lords Autism Act 2009 Committee report: Recommendations, government response and recent developments’ (29 May 2026).
2.7 Other policies
The government has introduced further policies on education, including the following:
- The Labour Party manifesto included a pledge to end VAT exemption and business rates relief for private schools.[34] It estimated that this would raise approximately £1.5bn each year. This was implemented from 1 April 2025 following the passing of the Non-Domestic Rating (Multipliers and Private Schools) Act 2025. Further information is provided in the House of Lords Library briefing ‘Non-Domestic Rating (Multipliers and Private Schools) Bill’ (23 January 2025).
- In 2024, the government committed to “create higher-quality training and employment paths by empowering local communities to develop the skills people need”.[35] In 2024, following the election the government committed to establishing a new national jobs and careers service.[36] Proposals to establish a new jobs and careers service were set out in the government’s ‘Get Britain working’ white paper in November 2024.[37] The government has said it will publish further information about the new jobs and careers service this year.[38]
- In 2026, the government published a schools white paper.[39] This included a commitment to introducing new standards for multi-academy trusts as well as proposals to allow local authorities to be able to set up their own school trusts. Further information on these and other proposals in the 2026 white paper is provided in the House of Commons Library briefing ‘2026 schools white paper: Plans for wider school reform’ (10 March 2026).
- In addition to changes to the way registered independent educational institutions are inspected, the Children’s Wellbeing and Schools Act 2026 included measures introducing free breakfast clubs in state primary schools, limiting branded items of school uniform and introducing a register of children not in school. Further information is provided in the House of Lords Library briefing ‘Children’s Wellbeing and Schools Bill’ (3 April 2025).
- The government also passed the Institute for Apprenticeships and Technical Education (Transfer of Functions etc) Act 2025 which abolished the Institute for Apprenticeships and Technical Education. Under the act, these functions were transferred to the secretary of state. Further information on this legislation is provided in the House of Lords Library briefing ‘Institute for Apprenticeships and Technical Education (Transfer of Functions etc) Bill [HL]’ (17 October 2024).
Read more
- House of Lords Library, ‘King’s Speech 2026: Education’, 7 May 2026
- House of Lords Library, ‘Affordability and quality of higher education’, 29 June 2026
- House of Lords Library, ‘National curriculum and assessment review’, 20 March 2026
- House of Commons Library, ‘Youth guarantee’, 10 July 2026
- House of Commons Library, ‘Access to further education’, 29 June 2026
- House of Commons Library, ‘V levels’, 20 March 2026
- House of Commons Library, ‘2026 schools white paper: Plans for wider school reform’, 10 March 2026
- House of Commons Library, ‘Teacher recruitment and retention in England’, 2 February 2026
- House of Commons Library, ‘Early years funding in England’, 18 June 2026
3. Employment
3.1 Government’s economic growth target
Prior to the 2024 general election, then Leader of the Opposition Sir Keir Starmer said Labour would secure “the highest sustained growth in the G7—with good jobs and productivity growth in every part of the country making everyone, not just a few, better off”.[40] The Labour manifesto included several commitments intended to increase economic growth and employment, including the establishment of a national wealth fund.[41] It said its strategy for investing in UK infrastructure through the national wealth fund would create 650,000 jobs across the country by 2030.
The Office for Budget Responsibility’s forecasts for the UK’s economic and fiscal outlook published in March 2026 said the fiscal context over the next year would “remain challenging”.[42] It noted that, since the initial recovery from the Covid-19 pandemic, real GDP growth has been persistently weak by historical standards. Further information on the government’s overall economic policy is provided in the House of Lords Library briefing ‘King’s Speech 2026: Economic growth, trade and EU partnership’ (7 May 2026).
3.2 Employment statistics
According to the Office for National Statistics’ (ONS) most recent labour market figures, the UK employment rate for those aged 16 to 64 was 75% during the period February to April 2026.[43] The ONS noted this had remained largely unchanged over the last year. However, over the same period, unemployment for those aged 16 and over had risen by 0.3 percentage points, reaching 4.9%. The UK’s economic inactivity rate for people aged 16 to 64 years was 21%. This was up 0.3 percentage points on the previous year but down 0.3 percentage points on the previous quarter.
Over the last two years the unemployment rate has risen amongst those ages 16 to 17, 18 to 24 and 25 to 49. It has remained the same for those age 50 or older. Figure 2 provides statistics for unemployment across these four age ranges, from 2016 to 2026.
Figure 2. Unemployment rate (%) by age band, recorded annually in January to March from 2016 to 2026

Further recent statistics on employment, unemployment and the economy more generally are provided in the House of Lords Library briefing ‘Welfare reforms and youth unemployment’ (5 June 2026).
3.3 Employer national insurance contributions
Labour committed in its 2024 manifesto to protecting “working people” from tax increases, specifying this commitment would apply to increases in national insurance, the basic, higher, and additional rates of income tax, and VAT.[44] It also committed to addressing “unfairness” in the tax system.[45]
In the 2024 budget, Chancellor of the Exchequer Rachel Reeves announced an increase in the rate of employer national insurance contributions (NICs) from 13.8% to 15%.[46] She also announced the level at which employers would start paying NICs would fall from £9,100 to £5,000. However, the employment allowance, which reduces an employer’s total NICs liability, was increased from £5,000 to £10,500.
The decision to increase employer national insurance contributions was criticised by then Leader of the Opposition Rishi Sunak who argued this constituted a breach of the government’s manifesto commitment not to increase taxes affecting working people.[47] In October 2025, the Institute for Fiscal Studies (IFS) argued the rise in employer national insurance contributions has contributed to rising labour costs alongside low growth in worker productivity.[48]
There were no changes to the headline rates of national insurance in the 2025 budget. However, the chancellor froze personal tax thresholds for both income tax and NICs for employees and self-employed individuals for a further three years—from April 2028 until April 2031.[49] Ms Reeves also maintained the threshold for employer NICs over the same period.
Further information on the government’s policies on taxation and the economy is provided in the House of Lords Library briefings ‘Economic and taxation policy: Impact on growth, jobs and prosperity’ (11 November 2025) and ‘Budget 2025: Summary of key announcements and economic and fiscal forecasts’ (1 December 2025).
3.4 National living wage and national minimum wage
In the 2024 autumn budget, Ms Reeves announced that, from April 2025, the national minimum wage for 18- to 20-year-olds would be £10.00 per hour, an increase of 16.3%.[50] She subsequently announced in the 2025 budget a further increase to both the national living wage (the minimum wage for those aged 21 and over) and the national minimum wage.[51] The budget stated that, from 1 April 2026:
- The national living wage for people aged 21 and over would increase by 4.1% to £12.71 per hour.
- The national minimum wage for 18- to 20-year-olds would increase by 8.5% to £10.85 per hour and for 16- to 17-year-olds and apprentices by 6% to £8 per hour.
- The accommodation offset (which ensures rent paid to an employer does not cause an employee’s wage to fall below the minimum) would increase by 4.1% to £11.10 per day.
Several organisations have criticised the decision to increase the national living wage and the national minimum wage, arguing that it has made it more expensive for employers to hire people. For example, the British Retail Consortium argued in 2025 that retail employment costs had risen “significantly over the last year” as a result of this change.[52] The IFS has also said these rises combined with the increase in employer national insurance contributions may result in fewer jobs becoming available for younger people as firms look either to hire older workers or to reduce hiring overall.[53] Further information concerning developments in the hospitality and retail sector, including the impact of changes to the minimum wage and the national living wage, is provided in the House of Lords Library briefing ‘Hospitality and retail sectors: Impact of government policy’ (19 January 2026). The House of Commons Library briefing ‘National minimum wage statistics’ (10 February 2026) also provides further information on the changes to the national minimum wage.
3.5 Employment rights
During the 2024–26 session, Parliament passed the Employment Rights Act 2025 which implemented what the government described as its “new deal for working people”.[54] This made several changes to employment law including the introduction of new rights to guaranteed hours, flexible working and bereavement leave, changes to statutory sick pay, and new duties on employers to prevent sexual harassment at work.[55]
These changes were generally welcomed by trade unions. For example, Paul Nowak, general secretary of the Trades Union Congress, described the proposals as “genuinely transformative” and an important step towards improving employment rights in the UK.[56] However, some employer groups expressed concern about potential costs set to be created by some of these measures. The British Chambers of Commerce argued the government’s proposals could cost businesses almost £5bn per year, with this impact being felt most acutely by small and medium sized enterprises.[57] Further information is provided in the House of Lords Library briefing ‘Employment Rights Bill’ (20 March 2025).
3.6 Young people and work
The ONS has reported that 1,012,000 young people were not in education, employment or training (NEET) during the period January to March 2026, an increase of 89,000 on the previous year.[58] Since 2019, the NEET rate for young people has risen from 11.2% to 13.5%.
Figure 3. Percentage of 16- to 24-year-olds who were NEET, recorded January to March from 2019 to 2026

In November 2025, due to concerns about the number of young people who are NEET, the government commissioned former health secretary Alan Milburn to conduct a review into the drivers of youth economic inactivity.[59] An interim report from the review was published on 28 May 2026.[60] The report described the work situation for young people as getting worse, and said that this was no longer “simply a question of temporary youth unemployment”.[61] Instead, it said there was a deeper problem of “youth detachment from the labour market” and that the UK was “at risk of a lost generation”.[62] Further information on the interim findings of the Milburn review is provided in the House of Lords Library briefing, ‘Welfare reforms and youth unemployment’ (5 June 2026).
Read more
- House of Commons Library, ‘Youth unemployment statistics’, 18 June 2026
- House of Commons Library, ‘NEET: Young people not in education, employment or training’, 5 June 2026
- House of Commons Library, ‘UK labour market statistics’, 18 June 2026
- House of Commons Library, ‘Employment in the UK: Economic indicators’; and ‘Unemployment in the UK: Economic indicators’, 19 June 2026
- House of Commons Library, ‘Unemployment international comparisons: Economic indicators’, 10 July 2026
- House of Commons Library, ‘The UK economy: A dashboard’, 1 July 2026
4. Welfare
4.1 Welfare statistics
According to the Department for Work and Pensions (DWP), total UK welfare spending was £314.9bn in 2024/25, representing 10.7% of UK GDP.[63] It is forecast to rise to £333.7bn in 2025/26 (10.9% of GDP) and to £408.6bn in 2030/31 (11.2% of GDP).
Figure 4. Total UK welfare spending in real terms (£bn, 2026/27 prices), 2013/14 to 2030/31 (spending and forecast)

The claimant count in May 2026 was 1.712 million, 0.7% higher than the previous year.[64] Figure 5 provides statistics for certain unemployed welfare claimants across three age ranges, 18 to 24, 25 to 49, and 50 and above, from January 2013 to March 2026. It covers caseload numbers for certain claimants of jobseeker’s allowance (JSA) and some UC claimants.
Figure 5. Claimant caseloads (thousands) for certain unemployment benefits by age group, January 2013 to March 2026

Further statistics on welfare spending are provided in the House of Lords Library briefing, ‘Welfare reforms and youth unemployment’ (5 June 2026).
4.2 Reforms to universal credit
Labour committed in its manifesto to reviewing UC to ensure it made “work pay” and that it tackled poverty.[65] However, the manifesto did not provide details of the scope of the review.
In March 2025, the government published the ‘Pathways to work’ green paper.[66] This included proposals to increase the UC standard allowance and decrease and then freeze the additional health element for existing and new claimants. These proposals were included in the government’s Universal Credit and Personal Independence Payment Bill, introduced in the House of Commons in June 2025. However, following opposition in the House of Commons, including from backbench Labour MPs, these proposals were amended so that the additional health element would only be reduced for new claimants, while existing UC claimants and some new claimants with the most severe or terminal health conditions would be granted financial protections. The Universal Credit Act 2025 was eventually passed by both Houses and received royal assent in September 2025. Further information on the Universal Credit Act 2025 is provided in the House of Lords Library briefing ‘Universal Credit Bill’ (17 July 2025) and the House of Commons Library briefing ‘Changes to universal credit rates from April 2026’ (21 October 2025).
4.3 Personal independence payment
The ‘Pathways to work’ green paper also included proposals to tighten the eligibility criteria for the personal independence payment (PIP), which is paid to disabled people to help with the extra costs of living with a disability.[67] The Universal Credit and Personal Independence Payment Bill as introduced in the House of Commons would have tightened the eligibility criteria for the PIP. However, these proposals were removed from the bill.
In June 2025, the government launched a review of PIP to be led by Minister for Social Security and Disability Sir Stephen Timms. In October 2025, the government said it would await the findings of the Timms review before making any announcement on whether to propose further changes to how the PIP system operates.[68] The terms of reference for this review included a requirement that its final recommendations must sit within the Office for Budget Responsibility’s projections for future spending on PIP.[69] Total spending on PIP is forecast to increase to over £41bn in current prices by the end of the 2030/31 financial year.[70]
The interim report of the Timms review was published on 9 July 2026.[71] The report noted the number of people claiming PIP had increased over the 15 years up to 2024 and that most of this increase had taken place over the last five years. It said growth in the number of claimants between 2019 and 2024 was nearly double that seen over the previous decade. It found these increases were most marked amongst people aged 16 to 19 and for those aged in their 30s. It also concluded that there appeared to be a significant increase in the number of people reporting mental health conditions and autism from 2009 to 2025.
The report concluded that while PIP was widely valued by those who received it, the system overall was no longer “fit for purpose”.[72] It stated many PIP recipients were critical of the process for making claims. The report also concluded the assessment criteria used for PIP were out of date. The final report of the Timms review is expected to be published in autumn 2026.[73]
4.4 Two-child limit
Labour’s manifesto included a commitment to develop an “ambitious strategy to reduce child poverty” by working with businesses, civil society and local government “to bring about change”.[74] However, the manifesto did not commit to abolishing the two-child limit in UC and child tax credits, which limited payments to the first two children in a household.
The government introduced the Universal Credit (Removal of Two Child Limit) Bill in February 2026. The Universal Credit (Removal of Two Child Limit) Act received royal assent on 18 March 2026. This removed the two-child limit in UC across the UK from 6 April 2026. Under the act—subject to benefit cap limits—households will be eligible for the child element of UC for third and successive children. For more information, see the House of Lords Library briefing ‘Universal Credit (Removal of Two Child Limit) Bill’ (27 February 2026).
Read more
- House of Lords Library, ‘King’s Speech 2026: Welfare and pensions’, 7 May 2026
- House of Lords Library, ‘Mental health conditions: Prevalence, impacts and government action’, 1 June 2026
- House of Commons Library, ‘“Access to work” scheme for disabled people’, 26 June 2026
- House of Lords Library, ‘Challenges faced by people with disabilities’, 13 May 2024
5. Change of prime minister
Prime Minister Sir Keir Starmer announced on 22 June 2026 that he would be resigning as leader of the Labour Party.[75] Labour’s National Executive Committee confirmed the nominations for prospective candidates would open on 9 July 2026. At the time of writing, Andy Burnham (Labour MP for Makerfield) is the only MP to have confirmed he would be standing as a candidate.[76] If Mr Burnham remains the only candidate, he will become Labour leader and prime minister following the end of the nomination stage of the contest on 20 July 2026.
In a speech on 29 June 2026, Mr Burnham outlined his proposals for increasing the devolution of powers to elected mayors, including policies to support people finding employment.[77] He said:
[…] we will answer the call from mayors, and particularly the Mayor of the North East, for devolution of employment support and changing the way we support and sustain people in employment, working much more through our community and voluntary sector at a grassroots level.
Working with organisations people trust to help them—rather than going to places they fear. This is the difference that the mayors can make, and in doing that, we will reduce the welfare bill in a way that is fair and lasting and helps people move forward.[78]
On education, Mr Burnham noted the interim report of the Milburn review, and stated:
We need a complete rethink of how we support the next generation to succeed, and it has to start with the education system. The days of a school system configured entirely around the university route will be brought to an end. University is great for those who want it—but when are we going to focus on the life chances of those kids who want something different? When? The country hasn’t done that for a long, long time.
People have argued for many years for an education system based on parity between academic and technical and that is what we will build, giving every young person growing up here a clear path into a reindustrialised Britain.[79]
Speaking during an interview on LBC, Mr Burnham said that he remained committed to the pledge in Labour’s 2024 manifesto concerning no raises in VAT, income tax and national insurance.[80] However, he said there was “some room within that manifesto for movement on tax” and indicated there may be potential to raise more funds from business rates.[81] On welfare, he said he was opposed to “crude cuts to benefit levels that just put people who are struggling in even worse poverty”.[82]
Image by Unseen Studio on Unsplash
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- Labour Party, ‘Labour Party manifesto 2024’, June 2024, pp 80–1. Return to text
- Department for Work and Pensions, ‘Back to work plan will help drive economic growth in every region’, 11 July 2024. Return to text
- Department for Work and Pensions et al, ‘Get Britain working white paper’, November 2024, updated 2 September 2025, CP 1191. Return to text
- House of Commons Library, ‘Youth guarantee’, 10 July 2026. Return to text
- HM Government, ‘Post-16 education and skills’, October 2025, CP 1412. Return to text
- Department for Education, ‘Radical expansion in rights for children with SEND’, 23 February 2026. Return to text
- Labour Party, ‘Labour Party manifesto 2024’, June 2024, p 83. Return to text
- Department for Education, ‘Every child achieving and thriving’, 23 February 2026, updated 27 April 2026, CP 1508-I. Return to text
- Department for Education, ‘SEND reform: Putting children and young people first’, 23 February 2026, updated 27 April 2026, CP 1059, p 22. Return to text
- Labour Party, ‘Labour Party manifesto 2024’, June 2024, pp 82 and 127. Return to text
- Department for Education, ‘Letter to the education workforce from Education Secretary Bridget Phillipson’, 8 July 2024. Return to text
- Department for Work and Pensions, ‘Back to work plan will help drive economic growth in every region’, 11 July 2024. Return to text
- Department for Work and Pensions et al, ‘Get Britain working white paper’, November 2024, updated 2 September 2025, CP 1191. Return to text
- House of Commons, ‘Written question: Employment schemes: Pilot schemes (118088)’, 16 March 2026. Return to text
- Department for Education, ‘Every child achieving and thriving’, 23 February 2026, updated 27 April 2026, CP 1508-I. Return to text
- Labour Party, ‘A ‘mission-driven’ government to end ‘sticking plaster’ politics’, February 2023, p 3. Return to text
- Labour Party, ‘Labour Party manifesto 2024’, June 2024, p 50. Return to text
- Office for Budget Responsibility, ‘Economic and fiscal outlook’, 3 March 2026. Return to text
- Office for National Statistics, ‘Labour market overview, UK: June 2026’, 18 June 2026. Please note that the ONS has expressed some caution over comparing data across years due to issues with this series of statistics. Return to text
- Labour Party, ‘Labour Party manifesto 2024’, June 2024, p 21. Return to text
- As above. Return to text
- HM Treasury, ‘Autumn budget 2024: Fixing the foundations to deliver change’, October 2024, HC 295 of session 2024–26, pp 4 and 45. Return to text
- HC Hansard, 30 October 2024, cols 829–33. Return to text
- Institute for Fiscal Studies, ‘IFS green budget: In summary’, 16 October 2025, p 6. Return to text
- HM Treasury, ‘Budget 2025’, updated 28 November 2025, HC 1492 of session 2024–26. Return to text
- HM Treasury, ‘Autumn budget 2024: Fixing the foundations to deliver change’, 30 October 2024, HC 295 of session 2024–26, p 42. Return to text
- HM Treasury, ‘Budget 2025’, updated 28 November 2025, HC 1492 of session 2024–26. Return to text
- British Retail Consortium, ‘A mixed bag budget for retail’, 26 November 2025. Return to text
- Institute for Fiscal Studies, ‘Combined impact of minimum wage and tax increases may reduce opportunities for young people’, 1 April 2025. Return to text
- Labour Party, ‘Labour’s plan to make work pay: Delivering a new deal for working people’, 24 May 2024. Return to text
- Department for Business and Trade, ‘Employment Rights Act 2025: Factsheets’, updated 15 May 2026. Return to text
- Trades Union Congress, ‘The Employment Rights Bill: A potential gamechanger’, 14 October 2024. Return to text
- British Chambers of Commerce, ‘Business concerned by Employment Rights Bill’, 26 November 2024. Return to text
- Office for National Statistics, ‘Young people not in education, employment or training (NEET), UK: May 2026’, 28 May 2026. Return to text
- Department for Work and Pensions, ‘Young people and work report: Call for evidence’, updated 23 December 2025. Return to text
- Department for Work and Pensions, ‘Young people and work: Interim report’, 28 May 2026, updated 13 July 2026. Return to text
- As above. Return to text
- As above. Return to text
- Department for Work and Pensions, ‘Benefit expenditure and caseload tables 2026’, 14 April 2026, ‘Summary table: UK welfare’. Return to text
- Office for National Statistics, ‘Claimant count by age group’, 18 June 2026. Please note this figure is provisional and may be subject to subsequent revisions. Return to text
- Labour Party, ‘Labour Party manifesto 2024’, June 2024, p 43. Return to text
- Department for Work and Pensions, ‘Pathways to work: Reforming benefits and support to get Britain working green paper’, 30 October 2025. Return to text
- As above. Return to text
- Department for Work and Pensions, ‘Government response to the pathways to work consultation’, updated 30 October 2025. Return to text
- Department for Work and Pensions, ‘Timms review of personal independence payment: Terms of reference’, 30 October 2025. Return to text
- Department for Work and Pensions, ‘Timms review of personal independence payment: Interim report’, 9 July 2026, para 45. Return to text
- As above. Return to text
- Department for Work and Pensions, ‘First comprehensive review into PIP finds it is “not fit for purpose”’, 9 July 2026. Return to text
- Department for Work and Pensions, ‘The Timms review’, 30 October 2025, updated 9 July 2026. Return to text
- Labour Party, ‘Labour Party manifesto 2024’, June 2024, p 79. Return to text
- Richard Wheeler, ‘Starmer quits as Labour leader and paves way for contest for new prime minister’, BBC News, 22 June 2026. Return to text
- Paul Seddon et al, ‘Burnham set to be next PM as 322 Labour MPs back him in first nomination tally’, BBC News, 9 July 2026. Return to text
- Miranda Pell, ‘Andy Burnham’s speech in full as he promises to give UK “new direction”’, Manchester Evening News, 29 June 2026. Return to text
- As above. Return to text
- As above. Return to text
- Bethany Dawson, ‘Burnham vows to change Britain, but his exclusive LBC interview leaves one big question: How?’, LBC, 3 July 2026. Return to text
- Kate Wannel and Joshua Nevett, ‘Burnham says there is some room for movement on tax’, BBC News, updated 3 July 2026. Return to text
- As above. Return to text