LONDON, Jan 1, 2024 (BSSAFP) - British Prime Minister Keir Starmer on Tuesday attempted to boost public morale by pledging a "year of rebuilding" while "rediscovering the great nation that we are" in 2025.

In his first new year's message since winning power in July, Starmer attempted a change of tone from the doom-mongering of previous messaging.

Critics have accused his Labour government of talking down the economy, leading to a drop in business confidence.

The government has also been accused of constantly blaming the last Conservative government for the challenges it faces amid an ongoing cost of living crisis.

Starmer said his government had begun the "work of change", highlighting a minimum wage hike, clean energy projects and investments in the state-run National Health Service (NHS).

"I know there is still so much more to do and that for many people it's hard to think about the future when you spend all your time fighting to get through the week," he said.

"Until you can look forward and believe in the promise and the prosperity of Britain again, then this government will fight for you," he added.

Starmer's government has had a bumpy start since its landslide election victory ousted the Conservatives from 14 years in power.

"Rarely has confidence in a new government evaporated so swiftly," said the right-leaning The Times daily in an editorial on Monday.

Starmer and leading members of his government faced accusations of hypocrisy after it was revealed they had accepted gifts from a wealthy Labour Party donor while axing a winter heating allowance for pensioners on low incomes.

On the economic front, after coming to power on a pledge to boost economic growth, Chancellor Rachel Reeves has struggled to get business on side after her first budget included sharp tax rises for companies.

Data earlier this month showed the economy was stagnant in the third quarter, as lobby group CBI warned of a "steep" decline in private sector activity in the first quarter of 2025, citing the impact of the budget's tax hikes.

Local elections in England in May will be the electorate's first opportunity to give its verdict on Labour's first months in government.