Keir Starmer survives another rebellion amid outrage at DWP disability cuts
Keir Starmer survived another welfare rebellion as dozens of Labour MPs voted against a controversial shake-up.
Critics lashed out at the Government's stripped-down welfare Bill, which will still see hundreds of thousands of disabled people lose £3,000 a year by 2030. It was branded a "stain" on the party as 47 Labour MPs rebelled against the Government to vote against its welfare reforms.
Mother of the House Diane Abbott, former minister Dawn Butler, Andy McDonald, Stella Creasy and Jonathan Brash were among those in the "no" lobby. Charities hit out after the Government's Universal Credit Bill passed its final Commons hurdle with a majority of 94. Analysis quietly published on Tuesday evening said 750,000 people would be affected.
It comes after the Government was last week forced to tear out key measures after more than 100 Labour MPs threatened to vote it down. Although ministers backed raising the Universal Credit standard allowance at least in line with inflation, they also want new claimants who sign up to health-related payments to receive a lower rate.
Backbencher Rachael Maskell told the Commons: "To pass this Bill tonight will leave such a stain on this great party founded on the values of equality and justice."
MPs voted to approve the Universal Credit Bill by 336 votes to 242, majority 94, and it will undergo further scrutiny in the Lords at a later date. The limited capability for work and work-related activity (LCWRA) benefit will be roughly halved for those who claim it from April 2026, unless they are terminally ill or meet a set of "severe conditions criteria".
Pre-2026 claimants will receive £423.27 but new claimants will receive £217.26. Former Labour MP Zarah Sultana, who last week quit as a Labour member more than a year after having the whip withdrawn, said: "This is a Government not only out of touch but also morally bankrupt. It works for billionaires and big businesses but turns its back on disabled people.
"It holds its summer reception at MasterCard's headquarters while disabled people are pushed to foodbanks. It impoverishes the sick and the elderly to satisfy spreadsheets and then dares to speak of tough choices."
The Government had initially proposed limiting access to personal independence payments (PIP) and health aspects of Universal Credit. Its own analysis suggested this would drag 250,000 people into poverty, including 50,000 childrens.
The controversial measures were set to save around £5billion a year. But outraged Labour MPs refused to back the Bill, prompting the Government to announce a review of PIP headed by DWP minister Sir Stephen TImms. No changes to PIP will be made until this is complete, rebels were told in a massive concession.
Earlier this week the Department for Work and Pensions ( DWP) said the changes will now pull 50,000 children out of poverty. Debbie Abrahams, who chairs the Commons Work and Pensions Committee urged the Government to push back its reforms until November next year.
She said: "This is to allow for the NHS capacity to ramp up and to ensure funding follows health need, so that people with newly required conditions or impairments can receive early treatment and a better aligned labour market that will enable them to return to work quickly.
"Without this, there is the risk that 45,000 more newly disabled people and their children will be pushed into poverty."
Labour MP for Penistone and Stocksbridge Marie Tidball urged the Government to properly work with disabled people in the Pip review, known as the Timms review. Ms Tidball, a disabled MP who tabled a cross-party amendment on the Timms review, said: "While the minister will head up this review, the voices of disabled people must be front and centre.
Helen Barnard, director of policy, research and impact at Trussell, said: 'We are deeply concerned about the cuts being made to Universal Credit health payments for disabled and ill people applying in the future. The scale of the remaining cuts in this ill-conceived bill will still be devastating and risks pushing more disabled people to food banks.
'Life costs more if you're disabled. Cutting this part of our social security system will mean 9 in 10 disabled people newly claiming the Universal Credit health element will miss out on around £3,000 worth of support on average by 2029/30. It makes no sense to rip support away from people in the future, just because their health has worsened, they become disabled, or their income drops after an arbitrary date. "
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