He's still going to the 80th birthday bash, but former Labour cabinet minister Peter Dunne said the Labour party has lost its soul.

Now firmly ensconced in the National Party government, the United Future MP said today's Labour Party is but a shadow of its bold predecessors.

"The Labour party that I joined when I was still at school was a party that had a vision for the future, it was unashamed in promoting it, now you've got a Labour Party that doesn't know where it stands on all the major issues, it's all over the place. "

Peter Dunne said even in its best moments it's looking back to the past.

Dunne said rather than grasp opportunities, Labour has become pre-determinedly negative.

"While it supports a new New Zealand flag, it opposes the current referendum process, essentially because it is a National Prime Minister's idea."

He left the party 20 years ago.

Peter Dunne said the first Labour government elected 80 years ago this week was bold, reforming and positive, and subsequent Labour leaders have had a a clear sense of purpose, determination and dedication.

"Contrasting with what you see on the Labour benches today which is really just nothing and I think that is very very sad - its a complete loss of soul and just a distraction in terms of where that party's focus is."

Peter Dunne's still going to the birthday party.

He said that "among the canapes and congratulations this week, there ought to be many still in the Labour Party thinking about these points."

Dunne said if not, there may not be a similar dinner in 20 years' time.