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Evening Standard
Evening Standard
Politics
David Lynch

Minister resolute on benefit cuts amid threats of Labour rebellion

The Government has no plans to reverse its benefits and winter fuel payment cuts, a minister has indicated, as Labour backbenchers continue to protest against the moves.

The decision to limit winter fuel payments was among actions by the Government said to have swayed voters in the May local elections, which saw Reform UK win a broad swathe of council seats from Labour and the Tories.

Some 100 Labour MPs – more than a quarter of the party’s parliamentary numbers – are meanwhile reported to have signed a letter urging ministers to scale back welfare cuts under consideration, according to the Times.

The private letter to Labour’s chief whip is separate from a similar one last week, in which 42 MPs said the cuts were “impossible to support”.

Under the Government’s plans, proposed in a Green Paper in March, the eligibility criteria for the personal independence payment (Pip), the main disability benefit in England, would be tightened.

Restricting Pip would cut benefits for around 800,000 people, while the sickness-related element of universal credit is also set to be cut.

Chancellor Rachel Reeves, who was questioned about the unrest in her party during a visit to Rolls-Royce in Derby, insisted the Government was taking action to address cost-of-living pressures.

She said: “I recognise that the cost-of-living crisis does continue for many people, but last month we were able to increase the basic state pension and the new state pension, the new state pension went up by £470, significantly higher than if it was just linked to inflation, putting more money in pensioners’ pockets.

“But I do understand that we need to bring energy bills down, that’s why we are investing in our energy security, building homegrown energy here in Britain to get those bills down for working people and also for pensioners.”

Chancellor of the Exchequer Rachel Reeves faced questions about Labour unease (Darren Staples/PA) (PA Wire)

Speaking to ITV’s Good Morning Britain, Treasury minister Emma Reynolds remained resolute that the Government would not be changing course despite the threat of widespread rebellion.

Asked if ministers would stick to their plans, she told the programme: “The Government has set out our plans, and we will continue to discuss them with backbenchers.

“Government is always about those discussions with colleagues in our party. We have a large majority, of course, and we need to ensure that we continue to discuss what are very sensitive issues with colleagues.”

She added: “But what I want to put across is that those people who have lifelong conditions, deteriorating health conditions, will no longer be reassessed because it is completely pointless, which recognises the dignity of those people.”

The minister acknowledged the issues were “very tricky and sensitive” and insisted ministers would be speaking with Labour MPs.

“Labour MPs are an incredibly important part of our efforts to reform this system, but also get the economy growing. That’s a normal business of Government. That’s what governments do,” she added.

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