What benefit cuts has Sir Keir Starmer backtracked on?

Sir Keir Starmer will mark his first year in government in eight days.

But one of the Prime Minister’s largest – and most controversial – policy plans is in tatters.

Sir Keir hoped to save money and incentivise work by passing a bill making deep cuts to welfare, such as restricting who can access Personal Independence Payments (Pip).

Disability and anti-poverty campaigners told Metro the plans would push more sick and disabled people into poverty, while 120 rebel Labour MPs have refused to vote for it.

Yet the PM has been forced to do a humiliating U-turn after meeting with key rebels last night.

What were the Pip and Universal Credit changes?

The Universal Credit and Personal Independence Payment Bill would tighten who can receive Pip, which is designed to support disabled people, whether or not they are in work.

Pip is a two-part benefit – a sickness-related daily living component of at least £73.90 a week and a mobility component of at least £29.20.

The former helps people who struggle to do tasks like cooking meals, using the toilet or washing and bathing.

The Government wanted to limit who can access the daily living payment by increasing the eligibility requirements from November 26.

Universal Credit, a bundle of various benefits, would also have been restricted under the plans.

Claimants who have limited capacity to work because of a disability or long-term condition can get an extra top-up worth £423.27. The proposals would have restricted eligibility to those aged 22 and over.

All in all, the measures would have seen 1,200,000 disabled people lose up to £6,300 by 2030.

What has the Government U-turned on?

Work and Pensions Secretary Liz Kendall told rebel MPs that now, Pip and UC claimants will continue receiving what they currently get.

Instead, only future claimants will face the higher eligibility requirements.

A review into the welfare system involving disabled groups and a package of employment support measures has also been promised, according to The Guardian.

What has the Government said?

A Downing Street spokesperson said: ‘We have listened to MPs who support the principle of reform but are worried about the pace of change for those already supported by the system.

‘This package will preserve the social security system for those who need it by putting it on a sustainable footing, provide dignity for those unable to work, supports those who can and reduce anxiety for those currently in the system.

‘Our reforms are underpinned by Labour values and our determination to deliver the change the country voted for last year.’

What has the reaction been?

The rebels, for one, are relieved. One told The Guardian: ‘They’ve offered massive concessions, which should be enough to get the bill over the line at second reading.

Another added: ‘We always wanted to protect the most vulnerable, not to destroy the bill or cause the government trouble. We always hoped there would be an off-ramp, and that’s what we have now.’

The selling point of the bill was simple – save £5billion.

But the turnaround means that about £3billion will be saved instead, which economists warn won’t give Chancellor Rachel Reeves much wiggle room in her Autumn statement.

Tax rises or cuts elsewhere, they said, might be needed to plug the gap.

Campaigners, however, had mixed feelings about the news.

Ayla Ozmen, director of policy and campaigns at anti-poverty charity Z2K told Metro: ‘It’s right that the government has protected current PIP claimants, but we still have very serious concerns about the plans.

‘The risk of trying work for current claimants could become even greater, as if it doesn’t work out, people may risk being pushed into deep poverty with no way back. And for future claimants, the system will offer even less protection from poverty.’

‘Instead of focusing on fending off a rebellion, the government must do what is right for disabled people and go back to the drawing board.’

Charlotte Gill, the head of campaigns and public affairs at the Multiple Sclerosis (MS) Society, however, was ALSO unimpressed.

She said: ‘Instead of meaningful action, all they’re doing is kicking the can down the road and delaying an inevitable disaster.

‘Down the line, these cuts will still push more people into poverty and worsen people’s health. We urge MPs not to be swayed by these last-ditch attempts to force through a harmful bill with supposed concessions.

‘The only way to avoid a catastrophe today and in the future is to stop the cuts altogether by halting the bill in its tracks.’

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