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Government climbdown on welfare Bill marks third U-turn this month

Government climbdown on welfare Bill marks third U-turn this month

Glasgow Times27-06-2025
Here, the PA news agency looks at three major policy changes this month.
– Welfare reforms
The Universal Credit and Personal Independence Payment Bill was put in motion to change who could qualify for certain disability and sickness benefits.
The package restricted eligibility for Pip, the main disability payment in England, and cut the health-related element of Universal Credit, in a bid to save £5 billion a year by 2030.
But a backbench rebellion of more than 120 Labour MPs forced Sir Keir into a U-turn.
In an attempt to appease those MPs, planned cuts will now only affect future applications for benefits, rather than existing claimants.
(PA Graphics)
– Winter fuel payment
The Government scrapped winter fuel payments for pensioners who do not receive pension credits or other means-tested benefits just weeks after it came to power in July.
It was described as a 'necessary and responsible' move by Chancellor Rachel Reeves, who argued it would help fill the £22 billion fiscal black hole.
The Government said that changing the threshold for the payment would save £1.5 billion each year.
But at the start of this month, the Prime Minister announced that the Government would reinstate winter fuel payments for millions of pensioners.
The payment, worth up to £300, will be restored to the vast majority of pensioners who previously received it because anyone with an income of under £35,000 a year will now get the payment automatically.
The Government said the change will cost £1.25 billion.
The move followed the report by Baroness Louise Casey (James Manning/PA)
– Grooming gangs
Sir Keir has also U-turned on holding a national inquiry into grooming gangs.
In January, the Prime Minister accused those calling for an inquiry of 'jumping on a far-right bandwagon' after tech entrepreneur Elon Musk criticised the UK for its lack of action on the issue.
But following the recommendations of a report by Baroness Louise Casey into the scale of group-based child sexual abuse, Sir Keir announced in June that there would be a full national statutory inquiry.
The Prime Minister had initially only promised five local inquiries in the most prevalent areas for grooming gangs.
Asked about the change, Sir Keir said: 'I've never said we should not look again at any issue.'
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