Chancellor John Healey makes a screeching U-turn on welfare HOURS after promising to cut the benefits bill before the election
Sophy Ridge questions Andy Burnham on screen, as the OBR projects net migration rising from 120,000 this year to 230,000 annually by mid-2031.The IFS warns John Healey has burned through 40 per cent of his day-to-day reserve, leaving a £28bn gap to close through cuts, tax hikes or borrowing by 2030.OBR migration projections, as the Chancellor defended his government's record despite forecasts of nearly one million more arrivals than departures over the next five years.
John Healey sparked Whitehall chaos on Thursday by appearing to promise welfare cuts before the next election, only to retreat within hours. The Institute for Fiscal Studies warned his Budget left a £28bn annual shortfall, raising the prospect of "brutal" departmental spending cuts. Andy Burnham scrambled to contain the damage, insisting the government was "working flat out" to reduce the benefits bill.
The IFS's Helen Miller said Healey had ducked big decisions, leaving public services facing real-term budget cuts in the spending review.
Healey deepened Cabinet tensions by splitting with Burnham on Brexit, saying he did not expect to see Britain rejoin the EU in his lifetime.