After Rachel Reeves’ uplifting message to the Labour conference, Prime Minister Sir Keir Starmer will bring the country’s expectations back down to earth with a reminder that there will be ‘pain before gain’.

The Labour leader will set out his government’s plans to “build a new Britain”, saying that the tough decisions he is taking for the short term are the first step on the journey of “national renewal”.

His speech will draw on previous themes about putting the country first and handing control to the British people, though in notes supplied before the speech he makes no mention of illegal immigration, people being jailed for commenting on social media, or the cuts to winter fuel allowances, issues that have dominated talk among those who feel the Prime Minister is responsible for “two tier” justice and abandoning pensioners.

“The politics of national renewal are collective. They involve a shared struggle,” he will tell delegates in Liverpool. “A project that says, to everyone, this will be tough in the short-term, but in the long-term – it’s the right thing to do for our country. And we all benefit from that.”

The Prime Minister will tell the country that the short-term pain of tough decisions means the long-term gain – including higher living standards to lower waiting lists – will come much quicker.

To those questioning whether Labour really represents change or just a different set of politicians repeating the mantra of the Tories, he says: “I changed the Labour Party to restore it to the service of working people. And that is exactly what we will do for Britain. But I will not do it with easy answers. I will not do it with false hope.”  

He will insist that politics can be a force for good and, in face of claims that he is overseeing a “two-tier judiciary” that it can be on the side of truth and justice.

He will list the reforms already made or begun by his government in just a few weeks, including the lifting of the onshore wind ban in England, the launch of Great British Energy, banning MPs from having second jobs, launching a National Wealth Fund. However, most of those he lists are yet to get from manifesto commitments to concrete development, such as planning reform and nationalising the railways.

Sir Keir once again point to the £22 billion ‘black hole’ left by the Conservative government, saying that it has “made things harder but that it will not stop us delivering for working people”.

“It will be hard. That’s not rhetoric, it’s reality,” he will say. “It’s not just that financial black hole, the £22bn of unfunded spending commitments, concealed from our country by the Tories, it’s not just the societal black hole – our decimated public services leaving communities held together by little more than good will – it’s also the political black hole.

“Just because we all want low taxes and good public services, does not mean that the iron law of properly funding policies can be ignored. We have the seen the damage that does, and I will not let that happen again. I will not let Tory economic recklessness hold back the working people of this country.“

He will announce plans for a law to give benefit inspectors similar powers to those used by HM Revenue & Customs to target tax evasion.

The legislation will allow fraud investigators to compel banks to hand over information about people’s finances if there is a suspicion they are claiming benefits they are not entitled to.

Chancellor strikes optimistic note

In her maiden address to conference, the Chancellor sought to strike a more optimistic tone after being accused of talking the economy down.

She had warned of “tough choices” to deal with what she says is a worse-than-expected inheritance from the Conservatives.

In her speech, she said: “I can see the prize on offer if we make the right choices now.”

However, as she began her speech news broke that nurses in England rejected the offer of a 5.5% pay rise in an online poll.

A debate tomorrow on her decision to cut winter fuel payments to some pensioners threatens to take the shine off a speech that was generally well-received. Those angry about the cut were further infuriated by the timing of the debate on Wednesday after the main business of the conference has taken place.

Ms Reeves won over most of the hall with a series of no-holds-barred pledges, including a promise to appoint a Covid corruption commissioner to help recoup £674m of disputed contracts the Conservatives had agreed to waive.

To loud applause, she said: “That money belongs in our police, it belongs in our health service and belongs in our schools. Conference, we want that money back.”

She announced new measures to target tax dodgers and help close the £39.8bn shortfall between the amount of tax owed and that which has actually been collected.

The plans include recruiting 5,000 more tax officials over the next five years, with 200 new compliance officers set to start at HMRC in November.

Sarwar strikes upbeat tone

Scottish Labour leader Anas Sarwar told delegates that the SNP “want to talk Scotland down, but I and all of Scottish Labour are relentlessly positive for the future of our country”.

In contrast to Sir Keir Starmer’s warning that “things will get worse”, Mr Sarwar told party members: “Scotland’s best days lie ahead of us. Things can and they will get better.”

He said would focus on the economy and streamlining the NHS to reduce the number of “managers and bureaucrats”, transferring power to frontline doctors and nurses.

“This is the change we need and this is the change we will deliver,” he said.

He declared that the SNP party has “lost their vision and lost their way, and above all they have lost their ambition for Scotland.”

His positive message, however, came amid simmering concern among Scottish Labour figures that unpopular policies from the UK government, such as ending universal winter fuel payments, will dent the party’s chances of defeating the SNP in 2026.