Business
Keir Starmer Plans New Peerages to Strengthen Lords Influence

Keir Starmer, the leader of the Labour Party, is preparing to unveil a new list of peerages aimed at enhancing his influence in the House of Lords. This move comes as part of a broader strategy to advance key legislation, including a bill to abolish hereditary peerages, which has faced significant resistance from the Conservative Party.
The upcoming peerage list is expected to include numerous Labour allies, with Liz Lloyd, Starmer’s outgoing policy chief, set to be appointed as a minister in the House of Lords. This significant reshuffle follows Starmer’s earlier appointment of two dozen new Labour peers last December, which featured notable figures like former Downing Street chief of staff Sue Gray and former shadow culture secretary Thangam Debbonaire.
Government insiders anticipate that the announcement of the new peerages could occur as early as October 2023. The aim is to rebalance the composition of the House of Lords, where the Conservatives currently hold 285 peers compared to Labour’s 209. Even with the anticipated removal of 44 hereditary Tory peers, the Conservatives are projected to maintain a numerical advantage of around 30 members over the government.
Starmer’s strategy appears to be a direct response to the legislative challenges posed by the opposition. The proposed reforms, including those concerning renters’ rights and employment rights, require a more conducive environment in the Lords to pass through Parliament effectively.
Lloyd’s departure, announced on a recent Monday, is part of a significant reshuffle aimed at reclaiming control over economic policy from the Treasury. Starmer has appointed Darren Jones, the chancellor’s deputy, to oversee day-to-day delivery of government initiatives, while Minouche Shafik, a former governor of the Bank of England, takes on the role of chief economic adviser.
Despite speculation about the impact of these changes on Rachel Reeves, the Shadow Chancellor, allies have clarified that Reeves was informed of the developments well in advance and supports the evolution of Downing Street’s economic strategy. There are indications that the restructuring of roles was a response to internal dynamics following the May local elections, aimed at developing a framework that aligns with Starmer’s vision for leadership.
The process of refining this new structure began in earnest in May, commissioned by Morgan McSweeney, Starmer’s chief of staff. It involved proposals from the Future Governance Forum, culminating in a finalized plan by late June and official conclusions in early July.
As the government navigates a challenging economic landscape in the lead-up to the budget, the focus remains on fostering a more cohesive and responsive leadership team. The reshuffle has raised questions regarding internal tensions, particularly following the departures of Lloyd and other senior aides.
While a new political policy chief is expected to be appointed soon, Vidhya Alakeson, currently the deputy chief of staff, will temporarily oversee day-to-day policy initiatives. This transitional phase is critical for maintaining momentum in policy development amidst ongoing adjustments within the leadership team.
Starmer’s strategic decisions, including the formation of new peerages and the reshuffling of key roles, reflect a concerted effort to strengthen Labour’s position in Parliament and navigate the complex political landscape ahead.
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