Everything you need to know about Labour’s welfare reform U-turn
Sir Keir Starmer Following the widespread criticism of the government’s plans to reduce welfare expenditures, he presented a great privilege to workers’ MPs.
However, before the second reading of the universal loan and personal independent payment invoice at Commons on Tuesday evening, 39 Backbencher signed a change that rejected the legislation.
It continues to see if the changes will come out of the rebellion, because many labor deputies show that they are still not satisfied with the prevention package.
At the beginning of the week, more than 130 workers’ deputies signed a “reasoned change” that would give measures the bill. If it passes, it would stop effectively for now.
However, on Thursday night, Liz Kendall sent a letter to the Labor Party MPs by making two important changes to strengthen the bill, and Dame Meg Hillier, the President of the Treasury Election Committee of the Amendment, pulled it.
The Secretary of Labor and Pension said: “These important reforms are based on their labor values and we want to make them correctly. We listened to colleagues who support the principle of reform but worried about the impact of the change of change on what is already supported by the system.”
Although the worker has prepared several plans for welfare reform since March, the universal credit and personal independence payment bill consists of these two changes only benefits.
Here are the measures and how you need to know about how they have changed:
Reduce PIP fitness
The PIP, which is currently claimed by 3.7 million people, is designed to assist the extra costs with a disease or disability.
As the plans are bored, the “daily life” element of the benefit becomes effective. Applicants are currently considered as limited to how limited their capabilities are in ten activities, and for each one is given between zero and eight points for each.
Pursuant to the current rules, at least eight points must be obtained in any combination of a applicant to be given the lowest PIP ratio. They would need this after the changes And To score four of these points in a single activity.
The planned changes will make up most of the savings of Labour’s welfare reforms with an estimated £ 4.1 billion. Budget Responsibility Office (OBR) says that approximately 1.5 million current plaintiffs will not meet the conformity criteria.
How did the measure change?
Following the privileges made by the ministers, all existing plaintiffs shall be evaluated under the current criteria rather than the proposed score system.
Kendall, MPS, said that the proposed changes in this decision are “uncertainty and concern”.
Ayrıca, Refah Bakanı Sir Stephen Timms’in tüm PIP sisteminin bir incelemesini gerçekleştireceğini duyurdu.
However, critics say that it threatens to create a ‘two -layer’ benefit system, which is subject to firm rules than the existing ones. And a large number of labor force deputies want to delay the legislation until the completion of the TIMMS examination.
Labor Backbencher Deputy Alex Sobel said to the BBC’s Newsnight program: “If you get a disability at birth five years ago or tomorrow, it should be the same for everyone.”
Change Universal Credit Rates
Another important change in the draft sees that universal loan rates are balanced, while the standard rate increases, while the rate of health is decreasing.
Starting from April 2026, Labour said that there will be “re -balancing levels ında in the universal loan to“ promote work and deviant incentives ”in the system.
Plans will bring an increase to the standard universal credit allowance for new and existing demands as of April 2026. This will increase by £ 7 per week.
At the same time, the payment rate of the universal loan for the health element will be frozen. Already the fields will receive £ 105 a week by 2029/30. In the meantime, for this element, new plaintiffs will take only £ 54 a week – almost half.
In addition to these rights, these plaintiffs will continue to receive the standard universal loan allowance, and as in other plaintiffs from the rise.
OBB, 2.7 million families, changes are expected to take the health element when they enter into force.
How did the measure change?
Kendall confirmed that all the current plaintiffs of the universal credit health element will be fully protected as well as any new plaintiff who meets the criteria of serious conditions.
Will the workers’ rebels withdraw back?
Various problems have been listed in the Rebel Change and the text emphasizes the sharp analysis of the Budget Liability Office (OBR).
According to the government’s influence assessment that angered a number of labor force deputies, this figure is now diminished, but still in 150,000.
Another concern listed is that the government’s decision to consult with disabled people about the two important reforms of the bill.
This lady Kendall wrote to the MPs: “His colleagues rightly want to ensure that people with disabilities and those who have bad health be at the center of our reforms.”
The DWP Secretary adds that the PIP assessment of the ministry examination is managed by the Minister of Disability Sir Stephen Timms and “in the heart”.
However, this does not mean that the two measures in the bill will no longer receive official consultations, that is, it is likely that many of them still think that criticism is still stopped.
Dame Meg Labor Deputy Rebel called the government’s climbing “a good and applicable compromise .. This is a big gain for ministers, because the support will convince a few hesitant deputies.
However, another rebel leader Debbie Abrahams, the Chairman of the Labor and Pension Committee said: “The real proposal given to one of the negotiating team was not actually what we think we were negotiating. There are some problems with it.”
And a second change that rejected the bill was put forward by York Central Deputy Rachael Maskell with the support of 138 disabled groups and said that people with disabilities do not yet have an agency in this process ”.
