Welcome to Politics 4 U

The welfare reform; Amused, Downcast, Irritated or Confused

The category that you fall in depends, to some extent, on your political viewpoint, whether you are Labour, Conservative, Liberal Democrat, Reform etc.
The focus here is to look at how we have got to the present state of affairs. Now buckle your seat belt, this is quite a ride.

So here we go. My starting point was Sir Keir Starmer's appearance on BBC's 6 O'clock news on June 24th. Proclaiming that by overhauling the welfares system, he would be able to save £5bn by 2030. The current welfare system is unsustainable. Owing to the growing number of individuals receiving benefits, there is an increased need to generate additional revenue. As stated, "the welfare system was unsustainable." The benefits involved are the Personal Independence Payments (PIP) and Universal Credit. PIP is paid to people with long term sickness/disabilities)By the smile on his face, it looked as if it was a done deal. No turning back it seemed.
However, when the details came to light, it did not go well. Why, and what happened? Well… 120 of Keir Well, Keir Starmer's own MPs had signed a motion that would literally rewrite the bill. Arguing that if passed in its present state it would push a large number of people into poverty. (The figure given according to the BBC’s web page was 250.000).That there had been a lack of consultation and that the ‘Impact assessment on the jobs market was inadequate.
These being vulnerable people, that figure was not easy to digest, more so those who had signed the motion. They remained unmovable in their determination to stop the bill from going through. Citing, the lack of consultation and an inadequate assessment of the jobs market.
For Keir Starmer, if he decided to continue with the bill as is, that he stood the chance of the bill being  Which, if it happened, would present a serious threat to his authority. There was even talk of his losing his premiership, he was under a lot of pressure. The vote, due to take place on the 1st of this month, was only a few days away. Yet, Keir Starmer insisted he would press on with the reforms as they stood.

Fasten your seat belts, as here comes the first U turn! 

Despite insisting that the bill would go ahead in it’s original form, he announced on the 30th of June the following changes: First, that the health element of Universal Credit will no longer be frozen and will be linked to the rate of inflation,( but, it would only apply to those who already claim Universal Credit). For PIP, a review of the assessment process, which would have input from disability organizations and overseen by a body of Ministers. £1.6 bn to be put aside to help people back into work before the original 2030 target.

What do the Conservatives make of this?

Kemi Badenoch, leader of the Conservative party states, “He would have to prove the proposals would both, reduce the welfare budget and get more people into work without raising taxes”. In order to get the Conservatives to cooperate with Labour with regards to Welfare Reform Bill. When Keir Stammer was asked about the conservatives said, “I don’t know what they will do, and, I don’t think they have a clue what they are doing”. So much for working together!!!
With more and more divisions on the Labour side; this is what the Telegraph said on the 30th of June 2025: Started by accusing Keir Stammer of trying to please the rebels and breaking the promises he had previously made, to humor them. Then quoted Sir Sadiq Khan as saying that the legislation requires “Radical transformation”. Liz Kendall, Labour MP, reportedly stated that if the current bill revisions proceed, they will cost £2.5 billion (Labour Secretary of State). However, the Shadow secretary has warned that it was the tax- payers that will be picking up this ever-growing bill.
Still with me? not to worry, there is another roller coaster just around the corner, as on the 1st of July 2025, just one day later ‘The Independent’ published a piece regarding the welfare bill. To briefly summarize its Headline states, “Rattled Starmer scrapes through on welfare reform after last minute concession to rebel MPs”. (David Maddox, Millie Cooke).
Says that the bill only scrapped through the commons because of the last-minute concessions.

The Cost to Keir Starmer, being that his credibility had been somewhat dented.
The concession: That PIP’s eligibility criteria would not change until after discussions have concluded. Originally, the changes to PIP were to occur in 2026 for new applicants.

‘

On the 1st of July 2025 ‘The Independent’ wrote a piece under the heading, “Rattled Stammer Scrapes Through on Welfare Reform after last-minute concession to rebel MPs”.
In summary, the welfare reform was passed after last-minute concessions were made to address concerns and prevent opposition. In their view it represented a significant knock on Stammer’s leadership. And that Pip changes will happen until after the benefit changes, which is to be in 2030, (Initially it was supposed to happen in 2026) for all new applicants.

I finish with a question. Has Keir Stammer’s leadership credentials been dented because he caved in under pressure? I Note: The savings that will now be made by this bill are £150bn. The £350bn shortfall will have to be raised somehow. Many are saying that it will be raised through taxes. But Rachel Reeves is on record as saying she will not increase Tax. Maybe only your general income tax, NI and savings tax, that an average worker is liable for and then for a short period of time.

So there you have it. Two 'U' turns and a bill that has passed through its second reading.

My take is that, there are many people on both sides of politics, Labour and Conservatives that are very unhappy with this bill. Labour, because it could be viewed as bringing uncertainty for people on benefits. These are perceived to be one of the main qualities of Labour- the poor and those unable to work. 

For Conservatives, the worry on raised taxes. Not one of conservatives favourite standpoints.

I look forward to reading your comments. Please no swearing, racial slurs or sexism.

Acknowledgements

BBC 1 The BBC News at 6.00. On the 24th of June 2024

BBC https://www.bbc.co.uk-news-articles

The Independent https://www.Independent.co.uk-news-uk-politics-keir-starmer-welfare

The Telegraph https://www.telgraph.co.uk