Sir Keir Starmer is reportedly weighing up changes to the Government’s proposed welfare reforms as disquiet grows within Labour’s ranks over controversial plans to restrict disability benefits. According to reports in The Times, the Prime Minister is contemplating ‘tweaks’ to the package to head off an emerging backbench rebellion that could see over 100 MPs voicing opposition.
The proposed reforms, aimed at tightening eligibility for the Personal Independence Payment (PIP) and encouraging more working-age individuals into employment, are expected to save the Exchequer up to £5 billion annually. However, the measures have faced mounting criticism for their potential impact on vulnerable claimants, with concerns that they risk pushing many into deeper hardship.
One possible amendment under consideration is extending the “transitional periods” for claimants, allowing those affected more time to seek alternative forms of support before changes come into effect. This move could be key to quelling unrest among Labour MPs and preventing a significant parliamentary backlash.
Peter Lamb, Labour MP for Crawley, is among those to break ranks, publicly stating his intent to vote against the current proposals. Speaking on BBC Radio 4’s Westminster Hour, Mr Lamb said: “I’ll be voting against anything which is going to restrict access to PIP further than it’s currently restricted.” He added that many of his colleagues were “deeply uncomfortable” with the proposed direction.
The disquiet over welfare reforms follows Labour’s partial U-turn on winter fuel payments. Under pressure from MPs, Sir Keir recently announced in Prime Minister’s Questions that more pensioners may now be eligible for the payment, though specifics remain unclear. Deputy Prime Minister Angela Rayner has since hinted that a formal announcement could come as early as the 11 June Spending Review.
Ms Rayner, speaking to Sky News, said: “The Prime Minister has announced it, so logically to me that indicates that the Prime Minister wants to do something in this area. And if the Prime Minister wants to do that, I’m sure the Chancellor is going to look at how we can achieve that.”
Labour’s internal divisions have been further highlighted by growing calls to scrap the two-child benefit cap, a policy introduced under Conservative rule which limits support for families to two children. Campaigners and MPs alike have called for its removal, branding it a major contributor to rising child poverty. Ministers have reportedly been reviewing the cap’s future as part of a broader child poverty strategy.
Although the strategy was originally scheduled for release in the spring, it has now been delayed until the autumn to coincide with the budget. This delay has fuelled speculation that the Government may be considering a more comprehensive reworking of its welfare approach.
Meanwhile, Reform UK leader Nigel Farage is expected to use the growing discontent within Labour’s base to his advantage. Farage is anticipated to pledge full restoration of the winter fuel payment and the abolition of the two-child benefit cap in a bid to appeal to traditional working-class voters.
Speaking on LBC, Ms Rayner dismissed Farage’s manoeuvres as populist posturing, calling him a “snake oil salesman” and questioning the financial credibility of Reform’s pledges. “Reform don’t have a fully costed plan behind any of this,” she warned.
Despite the Government’s insistence on the fiscal necessity of the reforms, Labour’s leadership is now facing increasing pressure to reassess its approach. With a sizeable portion of the Parliamentary Labour Party ready to rebel, the coming weeks could prove critical in shaping the final scope of the welfare package — and the political credibility of the new Government.