This American Songwriter opinion piece champions "Last Night I Dreamt That Somebody Loved Me" as the most underrated song in The Smiths' catalogue, arguing that it deserves the same recognition as celebrated hits such as "How Soon Is Now?" and "There Is a Light That Never Goes Out". The writer describes the track as emotionally overwhelming, praising its raw depiction of loneliness and isolation, and suggests devoted fans of the English band will share their affection for it.

The song appeared on the group's final album, Strangeways, Here We Come, and was released as the album's last UK single in late 1987, written by Morrissey and Johnny Marr. Despite its acclaim among fans, it reached only No. 30 on the UK Singles Chart before later gaining greater appreciation and featuring on several compilations. Marr called it "the best thing we'd done" and named it his personal favourite Smiths song, describing its melancholic, dramatic guitar riff, orchestrated with keyboard and string sounds, while Morrissey's cryptic lyrics explore the disappointment of a failed romantic encounter.