UK (Parliament Politics Magazine) – Following a court ruling, Liz Kendall withdrew stricter benefits criteria, sparking criticism over Labour’s handling of fiscal management and welfare policies.
The Secretary of State for Work and Pensions Liz Kendall drops £3bn in welfare cuts amid growing concerns.
Did Liz Kendall postpone welfare cuts to avoid backlash?
Ms Kendall has come under fire for delaying planned restrictions on mental health benefit claims, a move opponents say avoids tough measures on welfare reform.
Her decision poses a challenge for Chancellor Rachel Reeves, who is struggling with increasing public spending that risks exceeding her fiscal targets.
Ms Kendall was forced to scrap the proposed welfare reforms after a judge ruled that the previous government failed to properly consult claimants.
Will delayed welfare reforms lead to tax hikes or service cuts?
Labour’s budget commitments included plans to implement stricter eligibility rules for long-term benefits, making it more difficult for individuals with less severe mental health conditions, such as anxiety and depression, to qualify for sickness support.
According to Treasury projections, the planned welfare reforms were expected to save £105 million in costs this year, with total savings reaching £5.5 billion by 2030.
Officials have affirmed their plans for a public consultation on the proposed welfare changes in the spring, assuring that the targeted financial savings will remain on track.
With the reforms now scheduled for April, concerns have been raised that Ms Reeves might need to increase taxes again or make cuts to essential public services.
The Telegraph’s report earlier this week revealed that Liz Kendall has scrapped Conservative proposals to change the sick note system, including giving work specialists, instead of GPs, the authority to determine fitness for work.
What did the shadow work and pensions secretary say about Labour’s welfare reform delay?
Helen Whately, the shadow work and pensions secretary, stated, “This looks like Labour are yet again kicking the can down the road on welfare reform.”
She added,
“After seven months in office they haven’t done a single thing to get the benefits bill down. They have been talking tough in the media, but in practice, they are dodging every tough decision.”
Ms Whately criticized Labour’s decision to cancel the fit note reforms, which she argued would have eased the burden on GPs and assisted people in maintaining employment.
She stated that allowing individuals to stay on welfare when they could work is not acceptable, adding that Labour’s delay only results in wasting valuable time and increasing benefits costs. Ms Whately urged for a concrete plan.
What did Ms Kendall write in her letter to the Social Security Advisory Committee (SSAC) about work capability assessment reforms?
In a letter to the SSAC, which oversees changes to the benefits system, Ms Kendall revealed that the work capability assessment (WCA) would no longer move forward.
Dr Stephen Brien, chairman of the SSAC, was informed by a senior official from Ms Kendall’s department that the legislation to implement the reforms “will be withdrawn.”
The department wrote in the letter,
“We are committed to reconsulting on the WCA descriptor changes, and plan to do so alongside the Green Paper on wider health and disability reforms which we expect to be published in the spring.”
Further, the department added that our dedication is to work with disabled people and organizations to shape the health and disability benefits system.
Is Ms Kendall softening welfare reforms under pressure?
Ms Kendall could soften the reforms, which face opposition from disability groups and some progressive Labour MPs.
The Secretary of State for Pensions is expected to face backlash from Labour’s backbenchers to moderate her approach, with some in her party expressing discomfort over her hardline stance on welfare reforms.
How did the Department for Work and Pensions respond to the WCA?
A Department for Work and Pensions spokesman stated,
“We have always said the work capability assessment is not working and needs to be reformed or replaced alongside a proper plan to help disabled people get ahead.”
The department highlighted that the upcoming Green Paper will propose reforms to help secure employment, increase earnings, and reduce benefits bills.
What are the proposed welfare reforms?
Liz Kendall, the Secretary of State for Work and Pensions, is preparing a set of reforms to address long-term welfare dependency, particularly about sickness and disability benefits.
The reforms will aim to assist people in moving from welfare to work, with changes in Job Centres and stricter sickness benefit criteria to better support employment retention.