Disability benefit cuts test loyalty of Labour MPs

6 hours ago 2

Iain Watson & Harry Farley

Political correspondent

Getty Images Sir Keir StarmerGetty Images

The premier minister's argumentation squad has been meeting Labour MPs down closed doors in Downing Street up of important cuts to the payment budget.

These could beryllium doubly arsenic heavy arsenic the savings that were signalled astatine past autumn's Budget - determination betwixt £5bn and £6bn.

The meetings are focussing connected the principles of betterment – not the detail.

The escalating costs and numbers of radical designated arsenic unfit for enactment were acceptable retired successful a slideshow presentation.

And the premier curate himself told MPs successful the Commons that the existent strategy was "indefensible, economically and morally" and "must beryllium reformed".

But his squad has had to perceive to superior concerns from MPs who are usually loyal.

The afloat standard of the cuts won't beryllium acceptable retired until the Spring Statement, portion Work and Pensions Secretary Liz Kendall volition springiness a large code adjacent week and people a "Green Paper".

Despite the name, that's a blueprint for reform.

There are those connected the Left of the enactment who don't judge immoderate cuts should beryllium made.

At Prime Minister's Questions Richard Burgon – a frontbencher nether Jeremy Corbyn – urged Sir Keir Starmer to see a wealthiness taxation alternatively than a payment cut.

Unsustainable welfare

Broadly speaking, though, the parliamentary enactment has accepted the statement that – without betterment – the payment measure is going to go unsustainable successful years to come.

And Labour strategists judge that appearing to get a grip connected payment is an indispensable limb successful the anti-Reform UK armoury.

The strongest statement the authorities tin muster successful favour of betterment is that excessively galore radical who are regarded arsenic semipermanent sick are successful effect thrown connected the unemployment scrapheap when, with the close help, they could prosecute successful the satellite of work.

And it's understood that the Treasury won't swallow up each of the payment savings.

Kendall volition beryllium capable to redirect a important sum – possibly arsenic overmuch arsenic £1bn – into the benignant of intensive enactment which immoderate claimants would request to get disconnected benefits.

This, of course, would beryllium expected to pb to savings successful owed people but won't bring instant rewards.

Another statement being made is that the strategy presently provides a perverse inducement which encourages sickness implicit work.

If you were to beryllium assessed arsenic having a constricted capableness to enactment oregon work-related enactment you could beryllium paid astir £400 much a period than idiosyncratic who is unemployed actively looking for work.

That spread is apt to beryllium narrowed.

Where the authorities has a bigger situation is to person its ain MPs that the level of Personal Independence Payments (PIP) - which are not means tested and are made to radical who have a semipermanent carnal oregon intelligence wellness condition - ought to change, and aboriginal eligibility restricted.

At PMQs Liberal Democrat person Sir Ed Davey asked Sir Keir to "calm anxieties" by giving an assurance that disablement benefits for those who can't enactment wouldn't beryllium cut.

He didn't person it.

Here, the authorities are tricky.

PIP cuts don't acceptable successful to the communicative of providing opportunities to radical who are languishing connected the dole.

Some of those who person PIP payments are successful enactment and would reason that these supply indispensable enactment which enables them to stay successful employment.

The Department for Work and Pensions has consulted with charities, but adjacent earlier the Green Paper has seen the airy of time immoderate of those organisations person been firing disconnected denunciatory property releases.

The authorities of the nationalist finances means the Treasury needs to rein successful spending if the chancellor is to conscionable her ain fiscal rules, including having indebtedness autumn arsenic a stock of nationalist income connected a five-year horizon.

The anticipation is that PIP payments volition beryllium frozen adjacent twelvemonth – truthful their worth volition erode - and that immoderate of those successful receipt of PIP are apt to look re-assessment and whitethorn suffer their payments entirely.

Loyalty tested to the limit?

It's present successful peculiar that immoderate the usually loyal MPs - not associated with the party's Left - are expressing concerns.

We person spoken to immoderate of them who listened to the PM marque the lawsuit for payment betterment astatine a backstage gathering connected Monday, oregon who attended the backstage meetings connected Wednesday.

An attendee said determination was excessively small item to scope a definitive presumption but cutting disabled benefits was apt to beryllium a reddish line. Others were much outspoken.

One told us: "People won't deterioration it. The costs of being disabled aren't going down.

"They cant conscionable unit this done similar the wintertime substance cut."

Another said: "If we're freezing PIP that is unforgivable. These are radical who tin ne'er ever work.

"Some radical person precise analyzable disabilities. Part of the societal declaration is they are supported."

And a accustomed protagonist of Sir Keir said: "Most of america broadly hold that determination are tons of radical who don't enactment but should, and person nary occupation with getting them into work.

"But punishing those who are particularly susceptible and person terrible disabilities is unacceptable."

Another added: "The authorities needs to halt talking astir everyone who is connected disablement benefits arsenic if they are each the aforesaid due to the fact that they are not."

We were told immoderate "heartfelt conversations" were had with the No 10 squad connected Wednesday and determination is simply a anticipation that the imaginable PIP frost tin beryllium thawed.

"This is inactive a unrecorded conversation," 1 MP said.

Some MPs besides felt that the timing of the payment cuts was wrong.

For example, they said NHS waiting lists needed to travel down archetypal – which should besides bring savings successful PIP and incapacity benefits - and should beryllium done against the backdrop of a growing, not stagnant, economy.

It is worthy remembering, though, that the authorities has a ample bulk and the premier curate himself is hugely determined not to duck hard decisions connected welfare.

And that recently-formed Get Britain Working Group of Labour MPs – astir of who are from the 2024 intake - volition vocally enactment the request for extremist payment reform.

However 1 of the 36 signatories to the group's supportive missive to Kendall has withdrawn her name.

Stoke South MP Allison Gardner said connected societal media that her sanction should not person been included, due to the fact that the missive didn't bash capable to bespeak the needs of those with terrible disabilities who simply can't work.

It seems it easier to get statement successful rule to payment betterment than to enactment it successful to practice.

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