Labour leader Sir Keir Starmer faces a potentially devastating rupture with the party's traditional support base, as its biggest financial backer, the Unite union, considers a formal split.
A Historic Fracture Looms
Senior officials at Unite, the UK's largest trade union, are in discussions about calling an emergency conference to vote on formally disaffiliating from the Labour Party. This move, reported by The Telegraph, would represent the most significant fracture between Labour and the trade union movement in recent history.
Sources indicate there is "intense frustration" with Starmer's leadership that permeates from the union's top brass down to its grassroots members. This discontent has grown so severe that some Labour MPs believe the only way to reclaim Unite's support would be through a change in party leader. One MP suggested the union would likely "coalesce around one candidate on the left of the party."
Leadership Under Fire and Financial Fallout
Unite's General Secretary, Sharon Graham, a long-time critic of Starmer who accuses him of lacking vision, has previously threatened to sever the union's link with Labour. Under her leadership, which began in 2021, Unite has campaigned vigorously against key Starmer policies.
The union opposed his initial decision to cut winter fuel allowance for pensioners—a policy later reversed—and has consistently called for increased taxes on the wealthy. Graham has pointed to the upcoming Budget as "an absolutely critical point" for determining whether the party's direction will change.
The financial implications of this rift are already stark. Donations to Labour from all major unions, including Unite, Unison, and the GMB, have plummeted since Starmer took office in July 2024. In the year ending September 2025, trade unions gave Labour just £5.3m, the third-lowest figure recorded since 2001, according to Electoral Commission data.
Wider Unrest and Political Maneuvering
The unrest is not confined to Unite. Unison, another major Labour backer, is currently balloting its members for a new General Secretary. One candidate, Andrea Egan, has already publicly distanced herself from Starmer, signalling a potential wider cooling of union support.
According to reports, rival political camps within Labour are actively attempting to woo these disaffected unions, viewing their support as critical for any future leadership candidacy. The potential disaffiliation of Unite is seen as such a fundamental threat that one MP stated it would be "very difficult" for Starmer to remain as Prime Minister if the move proceeded.
While Unite's rules stipulate that a formal disaffiliation must be voted on at its next rules conference in 2027, the union's executive council has the power to call an emergency rules conference to bring the vote forward—an option now under serious consideration.