It was Sir Keir Starmer’s number one mission. World-beating growth and rising living standards across the country with “the highest sustained growth in the G7”.
Yet the Prime Minister’s promise to make families better off has failed miserably.
Official figures on Tuesday showed that living standards had fallen under his premiership, leaving families worse off than when he took power in July 2024.
Data published by the Office for National Statistics (ONS) show that households are 0.5pc worse off in real terms.
With Andy Burnham poised to move into No 10, Sir Keir hands over an economy where households are poorer and more likely to be out of work than when he entered office.
That is a damning economic legacy, and one that Burnham faces an uphill climb to reverse.
Living standards fall
Labour will be quick to highlight that real GDP per head has actually climbed under its tenure, rising by 1.6pc.
However, real household disposable income (RHDI), which measures how much households have to spend after taxes and inflation are taken into account, is a better proxy of living standards.
In general, if RHDI per head is rising, this suggests households can save or spend more. If it is falling, it means taxes and inflation are eating away at earnings.
The data indicate that tax rises are taking their toll, with overall living standards falling by 0.5pc.
Burnham will be hoping to turn this around, claiming on Monday that his devolution revolution will unlock “good growth in every British postcode”.
However, the outlook remains bleak, particularly if the economic impact of the Iran war lingers.
Analysis by the Resolution Foundation think tank shows RHDI is expected to grow by less than 1pc per year for the rest of this parliament.
“If this transpires, it would be the second worst parliament for living standards growth under this measure, better only than the last parliament, which included the Covid-19 pandemic and the cost of living crisis,” it warned.
