Wes Streeting has revealed that his proposal to bar private equity firms from the social care sector was removed from Labour's 2024 general election manifesto, blaming a culture of political caution within the party that he says continued after it took office.

The policy, first announced in 2022, would have prohibited firms from operating in social care if they failed to meet national standards on care quality, workers' rights and financial sustainability. A Labour source confirmed it was cut because Keir Starmer's team judged it would appear anti-business.

Writing in a Fabian Society report on establishing a national care service, Streeting said overhauling social care was "one of the defining challenges of our age" and that a lack of political leadership was holding back progress. "My plan to boot private equity sharks out of social care was cut from the manifesto, as was a proposal for a royal commission," he wrote. "The same culture continued into the government." He warned that without a shift in approach, social care would once again be set aside ahead of the next general election.

His criticism extended to the timeline for the Casey Commission, the government's review of adult social care, which is not expected to report until 2028. Streeting said Downing Street delay meant that meaningful reform before the next election was unlikely, adding that the mistakes of previous governments must not be repeated.

The remarks carry particular weight given Streeting's position. He resigned as health and social care secretary and publicly called on Starmer to stand down following Labour's losses in May's local elections. He is widely expected to stand in any forthcoming leadership contest. Andy Burnham, the Greater Manchester mayor who is also considered a likely candidate should he win the Gorton and Longsight byelection, offered his own indication of intent, saying he would fix the social care system within his first year in office and would not shy away from the task.

Streeting has indicated he would revive the private equity regulation policy in a future government. He has also proposed creating a social care sponsorship body that would remove employers' power over overseas workers under the current visa model, which he argues leaves some workers exposed to exploitation.

Other Labour figures in the Fabian Society report echoed his frustration. Anna Dixon, the MP for Shipley, said there was a lack of pace and urgency in the government's approach and asked why the care needs of disabled and older people were so often treated as low priority. Ben Cooper, a research manager at the Fabian Society, said Labour required a bold agenda for the second half of the parliament and that establishing a national care service should be central to it.

The government's record was defended by the Department of Health and Social Care. A spokesperson pointed to £4.6bn in additional funding for local authorities, the introduction of a fair pay agreement for care workers, strengthened support for unpaid carers, and £723m allocated to help people with disabilities adapt their homes. The department added that Baroness Casey's initial recommendations on delivering a national care service would be published later this year, setting out next steps for a more sustainable and joined-up system.

The exchanges mark a sharper public break between Streeting and the current leadership than anything seen during his time in cabinet. Whether his criticisms gain traction will depend partly on the speed of the leadership contest and partly on whether social care, a policy area that has absorbed political energy without producing durable reform for well over a decade, can sustain attention in the months ahead.