"We Can’t Afford to Live or Get Sick"- Cost-of-Living and NHS are Labour Government's Current Policy Challenges

Short Essay, by Riya Mohan

While there are several key political and policy challenges facing this Labour government including slow economic progress, rising crime, housing crisis, some have recently dominated the media more than others like immigration. However, public perception indicates that the rising cost of living and the state of public services, especially the NHS are the two most pressing issues passed down to Labour as political inheritance (ONS 2025)[1]. Despite falling from 93% in 2022 to 88% in 2025, the cost of living remains the top public concern, while concern for the NHS has remained steady.

Much of why NHS remains a significant policy challenge for the Labour government is revealed by Lord Ara Darzi in his independent review[2]. Systemic shortcomings exist: long-waiting times (especially critical for mental health, emergency and accident cases), staff disengagement, and cancer care falling behind international standards. The diversity in the UK population also means that many people from the BAMER community are increasingly accessing support in community settings due to language barriers and lack of trust in mainstream services. However, NHS budget is being directed more towards hospitals and less towards community, further contributing to patient dissatisfaction. Labour recognises this as a challenge and has already set out a 10-Year Health Plan for England[3] to make the NHS “fit for the future.” While the plan emphasises shifting care from hospitals to communities, embracing digital innovation, and prioritising prevention –including health’s role in tackling VAWG – concerns remain about its lack of clarity on implementation.

The second major challenge is the cost-of-living crisis, which disproportionately affects adults under 50, women, renters, parents with dependent children, and those in deprived areas (ONS 2025)[4]. Runnymede Trust data shows that bills and food prices have particularly hit Indian, Pakistani, Bangladeshi, and Black working-class families hardest[5], many of whom worked on the frontlines during the pandemic. Labour’s tougher stance on immigration and its position on Gaza risk further alienating minority ethnic and left-leaning voters. Growing frustration among these groups, who together, make up the second-largest share of England’s population (Census 2021)[6], poses both a policy and political challenge for the Labour government.

REFERENCES:

[1] Office for National Statistics (2025) Public opinions and social trends, Great Britain: September 2025. Statistical bulletin published 17 October 2025. Available at: https://www.ons.gov.uk/peoplepopulationandcommunity/wellbeing/bulletins/publicopinionsandsocialtrendsgreatbritain/september2025 

[2] Darzi, A. (2024) Independent Investigation of the National Health Service in England. Updated 25 September 2024. London: Department of Health & Social Care. Available at: https://assets.publishing.service.gov.uk/media/66f42ae630536cb92748271f/Lord-Darzi-Independent-Investigation-of-the-National-Health-Service-in-England-Updated-25-September.pdf [Accessed 3 November 2025]

[3] Department of Health & Social Care (2025) Fit for the Future: The 10 Year Health Plan for England. Policy paper published 3 July 2025. Available at: https://www.gov.uk/government/publications/10-year-health-plan-for-england-fit-for-the-future 

[4] Office for National Statistics (2025) Public opinions and social trends, Great Britain: September 2025. Statistical bulletin published 17 October 2025. Available at: https://www.ons.gov.uk/peoplepopulationandcommunity/wellbeing/bulletins/publicopinionsandsocialtrendsgreatbritain/september2025 

[5] Edmiston, D., Begum, S. & Kataria, M. (2022) Falling Faster amidst a Cost-of-Living Crisis: Poverty, Inequality and Ethnicity in the UK. London: Runnymede Trust. Available at: https://www.runnymedetrust.org/publications/falling-faster-amidst-a-cost-of-living-crisis-poverty-inequality-and-ethnicity-in-the-uk

[6] Office for National Statistics (2025) Census 2021: General report for England and Wales. London: HMSO. Available at: https://assets.publishing.service.gov.uk/media/6850323f29fb1002010c4ece/Census_2021_General_report_for_England_and_Wales.pdf [Accessed 3 November 2025]