Chancellor John Healey is forced into a welfare U-turn HOURS after promising to cut benefits before the election
Prime Minister Andy Burnham speaking to ITV News, with NatWest chief executive Paul Thwaite among those criticising Chancellor John Healey for lacking ambition on growth.Andy Burnham in Glasgow, where he chaired his first National Economic Council and pledged no nation would be "left behind" on devolution.
John Healey's welfare U-turn plunged Labour into chaos on Thursday after Treasury aides scrambled to row back his claim that the benefits bill would fall before the next election "in a Labour way." By evening, Healey had reversed course entirely, telling Channel 4 it was "not correct" to say the bill would come down this Parliament. Andy Burnham then rejected "brutal cuts" while insisting he is "pioneering a new approach," adding to the confusion.
The welfare bill is forecast to hit £431.3bn by 2031/32, with rising incapacity benefit claims the principal force pushing it higher, and no timetable has been set for bringing it down.
Kemi Badenoch called it 'astounding' that Labour cannot commit to cutting benefits this decade despite costs rising by more than £60bn by 2029.
Defence Secretary Wes Streeting contradicted Downing Street's damage-limitation line, arguing Healey had still not ruled out pre-election cuts.
