British Prime Minister Keir Starmer promises national renewal at 2024 Labour conference

Liverpool, Britain's Prime Minister Keir Starmer sought to dispel the fog of pessimism that has shrouded his new premiership on Tuesday, insisting the tough decisions he has made now will usher in a new era for Britain.

“Change must be nothing less than a national renewal,” he told Labour delegates on Tuesday.

“The truth is that if we make the tough, long-term decisions now and stick to the purpose that drives everything we do… we will get to that light at the end of this tunnel, your Britain, much sooner,” he said as Labour closed its annual conference, which came to power for the first time in 15 years.

Starmer strongly criticised the previous Conservative government for destroying public services and destroying trust, and argued politics could be a “force for good” as he outlined Labour's progressive plans.

“We must build a new Britain. We must be a great reform government,” he said.

The Prime Minister has sought to sound optimistic after being criticised for giving a gloomy outlook on Britain's economic situation and offering little detail on how to improve the situation.

Less than three months after winning a landslide victory in July, enthusiasm for the new government has been dampened by a decision to limit pensioners' winter fuel payments and a row over ministers' use of donations for clothing and entertainment.

Starmer defended the fuel cuts, saying: “If this was popular or easy, we would have walked it already.”

Starmer cited his government's achievements so far as ending the NHS doctors' strike, new solar projects and offshore wind farms, planning reform, ending no-fault evictions, establishing a national property fund and passing legislation to renationalise the railways.

“The work of change has begun. An era of patient, calm and resolute government as a service has begun,” he said.

“We are just getting started,” he said, citing plans to reduce knife crime, introduce a new industrial strategy and tackle benefit fraud.

In his speech, Starmer reiterated five priorities to ensure what he called national renewal: boosting economic growth, reforming the NHS, fixing Britain’s borders, improving education and moving to clean energy.

He also declared that he had succeeded in turning the party around politically and restoring it to “serving working people” under the previous left-wing leadership led by Jeremy Corbyn.

“People said we couldn't change the party, but we did. People said we couldn't win across the UK, but we did. People said we couldn't deliver national renewal, but we can and we will,” he said.

He added: “We will stabilise the economy, clean up the Tories' corruption, clear the base and deliver on our mission for change.”

Chancellor of the Exchequer Rachel Reeves also sought to set a positive tone on Monday, telling her keynote address that “optimism about the UK burns brighter than ever”, but warned that the road ahead was “steeper and harder than we anticipated”.

The Chancellor's upcoming autumn budget, due on October 30, is expected to include tax rises and spending cuts after she warned there was a €22 billion ($29 billion) “black hole” in the public finances. But Reeves also said there would be no return to austerity and that there would be “real ambition”.

Labour's optimistic message was echoed by ministers at the party's three-day annual conference in Liverpool, England.

Health and Social Care Secretary Wes Streeting has said promised improvements to England's National Health Service (NHS) will take time to be implemented.

“The honeymoon period will come later, because the scale of the challenge is enormous. We have to rebuild our economy, rebuild our public services, rebuild trust in our politics,” he told a conference on Monday.

Finance Minister Tulip Siddique also said the country would ultimately benefit from the “tough decisions” it was taking.

“We are trying to fix the foundations of the economy, because even though it will be difficult in the medium term, it will benefit us in the long term,” she said at an event on Monday.

It comes as public enthusiasm for the government shows signs of waning. Half of Britons, including a quarter (26%) of Labour voters, are disappointed with the government's performance so far, an Ipsos poll showed on Friday.

CNBC has reached out to the Conservatives for comment.

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