UNIONS welcomed Labour’s plans to begin rebuilding Britain after it set out its government agenda in the King’s Speech today, but warned its “financial straitjacket” must not prevent real change.

Among the policies King Charles announced in the House of Lords were the renationalisation of rail, lifting the ban onshore wind, ending tax breaks for private schools, the creation of a state-owned energy investment and generation company, and rolling out the New Deal for Working People.

Labour’s long-promised Employment Rights Bill, which came with a pledge that it will be introduced to Parliament in the first 100 days of the government, will ban “exploitative” zero-hours contracts and fire-and-rehire practices, add extra rights such as on flexible working, and make parental leave, sick pay and protection from unfair dismissal day-one rights.

TUC general secretary Paul Nowak said: “This King’s Speech begins the process of repairing and rebuilding Britain after 14 years of chaos and decline.

“Whether it’s boosting workers’ rights, launching GB Energy or bringing our railways back into public ownership — this is a serious statement of intent.”

He said the government’s commitments to deliver a genuine living wage and remove the discriminatory minimum wage age bands will be a “vital stepping stone towards making work pay and ensuring everyone has security and respect at work.”

The TUC leader also welcomed Labour’s draft Equality (race and disability) Bill, which will set out equal pay rights for people from minority ethnic groups and disabled people, including mandatory ethnicity and disability pay reporting for bigger employers.

Unite general secretary Sharon Graham said: “The NHS and our public services are on their knees, staff are leaving in droves and our infrastructure is crumbling, substantial investment will be needed to tackle the cliff edge we face. That fact is undeniable.

“Now is not the time for the government to be straitjacketed by self-made fiscal rules, leaving us entirely reliant on growth, which may not arrive in time.”

Unison general secretary Christina McAnea said Labour’s workplace rights package “promises to be a game changer,” adding: “Social care gets some attention at last too.

“After years of government neglect, the fair pay agreement is the first sign things are set to change, with a national care service the ultimate prize.”

GMB general secretary Gary Smith said: “It’s good to see a much-needed focus on industrial strategy and skills, areas of critical importance to growth and prosperity that have been neglected for too long.”

The King’s Speech outlined plans to reform rail franchising, establish Great British Railways and bring train operators into public ownership, alongside additional investment in high-speed rail across the north of England.

A Water (Special Measures) Bill will make the bosses of private water companies personally liable for lawbreaking, and give the water regulator new powers to ban bonuses.

A Great British Energy Bill will set up Labour’s long-promised publicly owned clean energy production company.

RMT general secretary Mick Lynch welcomed announcements specifically around removing restrictions on trade unions, the New Deal for workers and the rolling out of public ownership of our railways but warned: “Our belief is that HS2 remains the best option for improving transport links, promoting economic growth and building a modern railway infrastructure, fit for the 21st century.”

Mick Whelan, general secretary of the train drivers’ union  Aslef, said delivering Labour’s manifesto commitment to renationalise the railways is “the right decision, at the right time, to take the brakes off the UK economy and rebuild Britain.”

A Children's Wellbeing Bill will force councils to maintain registers of children not being educated full-time in school and deliver its manifesto promise for breakfast clubs in all primary schools in England.

Labour’s Skills England Bill will set up a new arms-length body of the same name to bring together employers, unions and others  to boost and regionalise training.

National Education Union general secretary Daniel Kebede said the Children’s Wellbeing Bill “only covers part of what the new government can do to respond to the big challenges” as he urged the government to remove the two-child benefit cap. 

A Renters’ Rights Bill promises an end to “no fault” evictions, which the Tories long-promised but never delivered, and an extension to a series of building safety rules for social tenants, known as Awaab’s Law, to private renters.

Labour also announced major planning reforms under its Planning and Infrastructure Bill. They are aimed at helping meet the goal of building 1.5 million more homes over the course of the parliament.

Generation Rent chief executive Ben Twomey said after five years’ of empty promises these reforms “must therefore go further than the previous government planned.”

Labour vowed to introduce a gradual ban on smoking and ban on vapes being marketed at children by bringing back the Tobacco and Vapes Bill first announced under Rishi Sunak.

It announced a mental health Bill aimed at tightening rules on sectioning people and their treatment and modernising care for people with learning difficulties.

British Medical Association council chair Professor Philip Banfield said Labour’s pledge to reduce waiting times will rely on “meaningful engagement with the medical workforce... ensuring that years of real-terms pay cuts are reversed for all doctors.”

Royal College of Nursing general secretary Professor Nicola Ranger warned workforce investment is needed to deliver the long over-due reforms to the Mental Health Act.

Keep Our NHS Public co-chair Dr Tony O’Sullivan said Labour could have repealed health charges for migrants and that parity between mental and physical health had also been promised in previous King’s Speeches.

Labour MP Richard Burgon, secretary of the Socialist Campaign Group of MPs, said: “There’s much to welcome in the King’s Speech… our movement now needs to press for other changes we’d like to see including scrapping the two-child benefit cap and ending arms sales to Israel.”

Communist Party of Britain general secretary Robert Griffiths said Labour is placing “almost total reliance” on big business market forces to produce economic growth and investment, new housing, and cheaper energy. 

A spokeswoman for Momentum said: “Socialists can take one clear message from today's King's Speech: It’s time for Labour members to push for the bold and progressive change that Britain needs.”