The Labour Government could be edging towards its fourth major policy reversal after an explosive investigation revealed senior ministers have begun backing away from a proposed Islamophobia law amid fears it could introduce blasphemy legislation “through the back door”.
The legislation, originally designed to combat anti-Muslim hatred in Britain, is now causing deep divisions within the party as top Whitehall officials warn it could fundamentally undermine free speech protections.
Sir Keir Starmer’s chief of staff Morgan McSweeney is reportedly amongst those adamantly opposed to implementing what critics have dubbed a “blasphemy law”, marking a significant retreat from commitments made during last year’s general election campaign.
Angela Rayner’s Policy Now Under Threat
The controversial measure was initially championed by Deputy Prime Minister Angela Rayner in the run-up to Labour’s 2024 election victory, positioned as a response to surging attacks on Muslim communities across the country.
During 2024 alone, Muslims in Britain were victims of more than 3,000 hate crime incidents, providing the impetus for new legislative protections.
However, an investigation by The National newspaper has uncovered growing unease within government ranks, with Communities Minister Steve Reed amongst those now flirting with backtracking on the policy.
A Number 10 source told the paper: “It’s not that it’s been watered down. It’s just that they’re completely changing it. The approach has been toughened up because we’re not going to create a blasphemy law, which [the UK Government] believe is fundamentally wrong.”
Free Speech Concerns Driving Government Rethink
Reed first signalled the potential reversal at the Labour Party Conference in Liverpool earlier this month, making clear his priorities differed from those of his cabinet colleague Rayner.
“Paramount in my mind would be the need to protect free speech,” Reed declared. “That must come first. We won’t allow the introduction of blasphemy laws by the back door.”
The comments marked a stark departure from Rayner’s original vision for the legislation and exposed deepening fractures within the Labour cabinet over how to balance protecting religious minorities with preserving freedom of expression.
Faith Leaders Warn of Party Split
Fiyaz Mughal, founder of Faith Matters, warned that Labour faces an internal rupture over the proposed definition of Islamophobia.
Definitely there will be a split within the Labour Party, and there are those sections who really want to see this definition go through,” Mughal told GB News presenters Olivia Utley and Charlie Peters.
He added: “It was clear that Angela Rayner was okay with such a definition going through. Steve Reed is not. And I think that there is going to be a split.”
Mughal argued against the proposed legislation, stating: “I think it’s really important that we keep mobilising against this definition, because it will essentially criminalise a whole range of people. And, you know, we don’t need more criminalisation in our country. The laws are sufficient enough.”
His comments suggest concern that overly broad definitions of Islamophobia could lead to prosecutions for legitimate criticism of religious practices or beliefs, effectively reintroducing blasphemy protections that were abolished in England and Wales in 2008.
Political Commentators Predict Limited Damage
Political commentator Eve McQuillan, speaking on GB News, suggested the row might not cause a complete fracture within Labour but acknowledged it could alienate some backbenchers.
I don’t think it will go so far to cause a rupture in Labour, but I think for some Labour MPs who feel that Labour is cosying up too much to Reform, then it will feel like this is the Labour Party moving against some of the moral principles that they stand on anti-discrimination,” McQuillan said.
She emphasised: “That’s why it’s important for the Labour Party collectively not to let that happen.”
The reference to Reform UK suggests some Labour MPs fear the party is adopting more socially conservative positions to compete with Nigel Farage’s insurgent party, potentially betraying core progressive values on minority protection.
Third U-Turn in Less Than a Year
If Labour does formally abandon or significantly water down the Islamophobia legislation, it would mark the government’s fourth major policy reversal since taking office in July 2024.
In January, Starmer’s administration backtracked on winter fuel payments, a decision that impacted millions of British pensioners and sparked fury amongst Labour’s traditional supporters and opposition parties alike.
Five months later in June, the government reversed its refusal to hold a national inquiry into the grooming gangs scandal that has gripped the nation, bowing to mounting pressure from campaigners and MPs demanding accountability.
In July, Labour executed another U-turn on planned welfare spending cuts after facing persistent efforts from infuriated campaigners and disgruntled backbench MPs who warned the measures would harm vulnerable citizens.
Balancing Religious Protection and Free Expression
The Islamophobia law debate highlights the complex challenge facing modern governments attempting to protect religious minorities from genuine hatred whilst preserving fundamental freedoms of speech and expression.
Proponents argue that existing hate crime legislation fails to adequately capture the specific nature of anti-Muslim prejudice, which often blends religious discrimination with racism and cultural stereotyping.
However, critics warn that overly broad definitions could criminalise legitimate debate about religious practices, theological criticism, or discussion of issues related to integration and extremism.
The abolition of blasphemy laws in 2008 was seen as a landmark moment for free speech in Britain, removing ancient restrictions that effectively gave Christianity special legal protection from criticism or mockery.
Reintroducing similar protections for Islam, even under the guise of anti-discrimination legislation, would represent a significant reversal of that liberalising reform.
Government Under Pressure from Multiple Directions
Labour now finds itself squeezed between competing demands from different constituencies within its electoral coalition.
Muslim community leaders and anti-racism campaigners are pressing for stronger legal protections against the documented surge in anti-Muslim incidents, arguing that current laws provide insufficient deterrence or recourse.
Meanwhile, civil liberties groups, secularists and some within Labour’s own ranks warn against measures they believe could chill free speech and legitimate criticism of religious ideology.
The government must also contend with opposition parties ready to pounce on any perceived threat to British traditions of free expression, particularly given the politically charged nature of debates around Islam in contemporary Britain.
Whether Labour can thread this needle without alienating significant portions of its support base, or whether it will simply execute another embarrassing U-turn, remains to be seen.
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Image Credit:
Prime Minister Keir Starmer speaks with Bill Gates — photo by Simon Dawson / No 10 Downing Street, licensed under the UK Open Government Licence v3.0.
