Labour Rebellion Over Disability Welfare Cuts Remains 'Up in the Air'

Strategic Insights -

Labour leader Keir Starmer faces opposition from a significant number of MPs over his plans to cut disability welfare, with a crunch vote looming on the Universal Credit and Personal Independence Bill. The original proposals would have seen significant cuts to Personal Independence Payments (PIP) and the health element of Universal Credit, pushing 250,000 people into relative poverty, including 50,000 children. After concessions were made, protecting current claimants' incomes in real terms while imposing cuts on those after November 2026, 150,000 people will still be pushed into poverty.

Key Takeaways:

  • Labour leader Keir Starmer's original proposals to cut disability welfare would have pushed 250,000 people into relative poverty.
  • The revised plans, which protect current claimants' incomes in real terms while imposing cuts on those after November 2026, will still result in 150,000 people being pushed into poverty.
  • 50,000 children would have been among the 250,000 people affected by the original proposed cuts.
  • The Labour Party's rebellion over the proposed welfare cuts remains significant, with many MPs still opposed to the measures.
  • Rebel MP Cat Eccles stated that the new proposals "have come far too late" and were "quickly drafted over a weekend just to rush it through".
  • Labour MP Vicky Foxcroft resigned as whip over the proposed welfare cuts and stated that the concessions did not go far enough to win her round.
  • Labour MP Simon Opher criticized the revised plans, saying they would not help the situation and would create a two-tier system in the benefit system.
  • Labour MP Diane Abbott criticized Starmer's claim to have been too focused on international affairs to head off the backbench rebellion.

Statistics:

  • 250,000 people would have been pushed into relative poverty by Starmer's original proposals.
  • 50,000 children would have been among the 250,000 people affected by the original proposed cuts.
  • 150,000 people will still be pushed into poverty under the revised plans.
  • 129 Labour MPs, as well as dozens from other parties, backed a "reasoned amendment" which threatened to topple the cuts.
  • The Universal Credit and Personal Independence Bill faces its first Commons test on Tuesday.

Sources:

  • "Rebel MP tells BBC that Keir Starmer's concessions do 'not go far enough'", BBC (Accessed 2023-07-*)
  • "Labour rebels urge Starmer to rethink £5bn disability cuts", The Guardian (Accessed 2023-07-*)
  • UK Government figures on Personal Independence Payments (PIP) and Universal Credit