11 hours ago
Starmer caves to Labour rebellion with concessions on welfare reforms
Sir Keir Starmer's Labour government has made a significant £1.5bn U-turn on planned welfare reforms, following a Rebellion from backbench MPs.
The concessions ensure that existing Personal Independence Payment (PIP) claimants and current Universal Credit recipients will have their incomes protected.
New eligibility requirements for PIP will only apply to new claims from November 2026, aiming to alleviate uncertainty for current beneficiaries.
The U-turn creates a £1.5bn shortfall in Labour 's spending plans, which economists warn will need to be covered by tax increases or cuts elsewhere.
Reactions to the U-turn are mixed, with some charities welcoming the protections for vulnerable people, while others, including the MS Society and the Tories, criticized the move.