Latest news with #WorkandPensionsCommittee
ITV News
12-06-2025
- Business
- ITV News
Kendall tells MPs she'll press ahead with welfare cuts, despite fierce opposition from backbenchers
Work and Pensions Secretary Liz Kendall has told concerned MPs she'll press ahead with planned welfare cuts, despite fierce opposition from many backbenchers. Responding to a letter from the Work and Pensions Committee urging her to delay the changes, Kendall wrote "we will not avoid or delay the decisive action needed to transform the system". MPs on the committee had said there needs to be a pause in implementing the reforms while the government carry out a full impact assessment. But Kendall insisted there will be no delay, because the bill needs final sign off from Parliament by November this year for the changes to be in effect from 2026. The government plans to make it harder for disabled people to claim Personal Independence Payments (Pip), and to freeze universal credit incapacity benefits for existing claimants, while cutting them by 50% for new claimants. The reforms are expected to save £5bn from the ballooning welfare budget, but critics warn the move will push vulnerable people into poverty. ITV News revealed the details of the letter from the Work and Pensions Committee last month. The cross-party group of MPs, led by Labour MP Debbie Abrahams, said that alongside a comprehensive impact assessment, disabled people must also be consulted before MPs are asked to vote on the reforms. After hearing from a series of experts, the group warned of possible unintended consequences. The letter warned: "The legislative changes might not incentivise work as the government hopes, but rather push people deeper into poverty, worsen health, especially in more deprived areas, and move people further away from the labour market." Abrahams told ITV News that she understood the financial strain facing the government, and the need to reform welfare to support disabled people into work. But she also cited expert evidence that cutting benefits could increase the risk of suicides. Chancellor Rachel Reeves also confirmed on Thursday that the government is "not going to be changing" the planned cuts, despite speculation they could be softened. The U-turn on winter fuel and reports the government could be poised to lift the two-child benefit sparked hope from backbenchers the government could be more likely to change course on welfare. But in an interview on the BBC Radio 4 Today programme, Reeves insisted: "No, we're not going to be changing that. It is important that we reform the way the welfare state works, so that there is a welfare state there for people.' But the rebellion among backbench Labour MPs doesn't seem to be abating. "I don't think they're listening to us on welfare reform at all", one MP said. "The government just aren't taking the size of this rebellion seriously", said another. "The free school meals and winter fuel allowance announcement and signals on the two child benefit cap are great, but not cutting it when it comes to the welfare changes." Cat Eccles, Labour MP for Stourbridge said she was "disappointed" by Kendall's response to the letter from Debbie Abrahams, accusing her of a "tunnel-vision approach of rushing forward" to get the plans signed off by parliament by November. "Many are rightfully concerned that ignoring this will push some of our most vulnerable in society into unnecessary poverty and hardship. "The response from the Secretary of State appears to ignore this evidence-based advice entirely, focusing rather on a tunnel-vision approach of rushing forward to gain Royal Assent by November this year, so these reforms can be implemented for 2026/27." She called on Kendall to "reconsider" her response, insisting: "Our welfare system must be a safety net to catch and support those who need it. "Do not pursue reckless changes that result in the holes of that net widening, with more of our most vulnerable falling through." There are reports up to 170 Labour MPs have raised concerns about the cuts with the government. ITV News understands that includes some senior backbenchers who work as Parliamentary Private Secretaries (PPS) to ministers, and even one junior minister. The legislation needed to bring in the changes is due to be introduced to Parliament on Monday 16th June, with a vote expected in the week of the 30th June. It's unclear exactly how many MPs will vote against the plans, but it's likely to be the biggest rebellion of Starmer's premiership. The government's own impact assessment on the reforms estimates that that in 2029-30,
Sky News
11-06-2025
- Politics
- Sky News
Work and pensions secretary tells MPs controversial disability benefit reforms will go ahead next year
The government has told MPs it will not back down from its controversial reforms to disability benefits, which are set to be introduced to parliament later this month. More than 100 Labour MPs are thought to have concerns about the plans to cut nearly £5bn from the welfare bill by restricting personal independence payments (PIP) and the health top-up to Universal Credit. Charities say the changes will have a "catastrophic" effect on vulnerable people. 3:06 The chair of the Commons' Work and Pensions Committee wrote to the secretary of state, Liz Kendall, last month, calling on the government to delay the changes until a full assessment is carried out of the impact on employment, poverty and health. Labour MP Debbie Abrahams wrote that while there was a case for reform to disability benefits, "the evidence indicated [these changes] might not improve outcomes for most claimants, but instead push many into poverty and further away from the labour market". But Ms Kendall has written back, in a letter made public on Wednesday, to reject the idea because the bill needs final approval from parliament in November in order for the changes to take effect in 2026. She wrote: "We need urgent action to help people who can work, into work. With one in eight young people now not in education, employment or training and nearly 2.8 million people out of work due to long-term sickness, and spending on health and disability benefits set to rise by an additional £18bn, we must change course. "We have consistently been clear that we are not consulting on every proposal. "Instead, parliament will have the opportunity to fully debate, propose amendments to, and vote on areas where we have announced urgent reforms that are not subject to consultation. "With PIP caseload and costs forecast to continue rising, reforms are needed now to make the system sustainable, while supporting those people with the greatest needs." 3:38 What is the government's plan? The government says the PIP caseload has more than doubled from 15,000 new claims per month in 2019 to 34,000. PIP is a benefit to help disabled people with the increased costs of day-to-day living. It is proposed that claimants will need to achieve four points out of eight in their assessment to qualify for the benefit, and the government says some 370,000 existing claimants will lose out when reassessed. Ms Kendall says the growth in claims means the PIP caseload will still increase by the end of the parliament. The government will also tackle what Ms Kendall called the "perverse incentive" to claim the health top-up for Universal Credit by freezing it at £97 a week for existing claimants, and slashing the rate to £50 a week for new claimants. The average loss of benefits will be £1,700 a year for some three million people. Claimants with the most serious conditions, who have been assessed as never able to work, will not be subject to reassessment, ministers say, allowing them to have peace of mind. The government will provide £1bn for targeted support schemes to help disabled people into work. But it's estimated these will help only some 70,000 people find employment. 1:23 Ms Kendall said a minister in her department is engaging with disabled people and organisations about the PIP assessment process, but said: "The PIP assessment review will rightly take time and require extensive engagement, and we cannot wait for its conclusion to make the urgently needed changes to the PIP eligibility criteria." 'Deeply disappointing news' The first minister of Wales, Eluned Morgan, who is gearing up for elections next year, told Sky News she had spoken to Ms Kendall about her concerns last week. She said: "This is going to be really challenging for a lot of people in Wales. We know more people in Wales will be affected by PIP than in any other part of the country. "We do think there needs to be reform of welfare because we believe people can work should work, but in Wales we have examples of where we hold people's hands, stand by them, we help them into work, and we think that's more of a productive approach." Labour MP Richard Burgon, who has vowed to vote against the reforms, said: "This will be deeply disappointing news for all the MPs who've been urging the government to delay this decision. Instead of allowing time for proper scrutiny and meaningful dialogue with disabled people, the government has brushed aside MPs' genuine concerns.
Daily Mirror
11-06-2025
- General
- Daily Mirror
Martin Lewis issues 'upgrade now' warning ahead of deadline this month
Radio teleswitch service (RTS) meters are being switched off on June 30 - meaning anyone with this type of meter needs to upgrade their system to a smart meter now Martin Lewis has issued an urgent warning for hundreds of thousands of households with an old type of energy meter ahead of a deadline this month. Radio teleswitch service (RTS) meters are being switched off on June 30 - meaning anyone with this type of meter needs to upgrade their system to a smart meter now. If you don't switch, it could mean your heating and hot water stops working properly. RTS meters were introduced in the 1980s and they use a radio signal to switch between peak and off-peak electricity rates. In a post published on X, Martin Lewis said: 'Warning! Got an old Economy 7 or multi-rate electricity meter? The 'Radio Teleswitch Service' which allows some old (non-smart) meters to function will be switched off at end of this month. 'It could mean your heating & hot water won't function properly, or incorrect bills. You need a meter upgrade now.' If you need to replace your meter, contact your electricity provider as soon as possible. They will be able to upgrade you to a smart meter, or another alternative, free of charge. You may have an RTS meter if you have a switch box near your energy meter labelled Radio Teleswitch, if you have electric or storage heaters, if there is no gas supply to your area, or if you get cheaper energy at different times of day. Simon Francis, co-ordinator of the End Fuel Poverty Coalition, last month warned there will still be hundreds of thousands of RTS meters on the date they are due to be switched off. Mr Francis told the Work and Pensions Committee: 'The process is doomed to failure. We are not going to see the RTS switch off on the first of July. 'There's still going to be hundreds of thousands of RTS meters in people's homes on the date that they're saying they're going to start winding down the signal. 'We don't know what is going to happen. The risks that have been outlined are either that your hot water and your heating are always on and you're going to be running up a massive bill, or it's always off.' Charlotte Friel, director for Retail Pricing & Systems for Ofgem, said: 'We have been continually monitoring the industry's efforts to replace RTS meters as this ageing infrastructure reaches the end of its life. 'Last year we decided more needed to be done so convened the sector and made clear to suppliers they have to move faster. Following that intervention, the rate of meter replacements has increase from around 1,000 a month to more than 1,000 a day. 'However suppliers need to do more and ensure customers are protected from detriment, which is why industry is putting in place a phased area-by-area shutdown beginning from 30 June. 'We have made clear that the signal serving a specific area should not be switched off until suppliers have demonstrated that they are ready and able to respond quickly to any issues customers experience.'
Western Telegraph
07-06-2025
- Politics
- Western Telegraph
Fund Winter Fuel Payments with MP expenses cut says petition
The petition was started by Yvonne Keegan, who calls for the benefit to be reinstated: "I know first hand the importance of Winter Fuel Payment - it's a lifeline to pensioners during the harsh winter months. Their heating bills can skyrocket, and they end up struggling, trying desperately to keep themselves warm. "Meanwhile, our politicians are living comfortably with expenses that would be considered extravagant by most standards. We believe that our politicians – who have a stable income, can afford to pay their heating bills and do not need taxpayer-funded expenses to support this aspect of their lifestyle." Once a petition reaches 10,000 signatures, the Government responds, and if 100,000 people sign, a debate in Parliament is considered. This petition currently has 110,421 signatures. Signatures can still be added here. How much do MPs get paid? MPs' basic salary rose 2.8% to £93,904 from April, after Parliament's expenses watchdog linked it to wider proposals for the public sector. They can also claim expenses including: Office expenses Office running costs Staffing costs Travel for staff Centrally purchased stationery Postage costs Central IT costs Communications allowance They also receive allowances towards having somewhere to live in London and in their constituency, and travelling between Parliament and their constituency. MPs can claim their utility bills, including gas, electricity, other fuel and water bills, on expenses at a single property, either in London or their constituency. This is only available to those who aren't MPs in London, or don't occupy 'grace and favour' accommodation in London. There is no upper limit on how much MPs can claim back on heating and fuel costs. Which pensioners will receive Winter Fuel payments after the changes? The Government has said more pensioners will receive winter fuel payments, but payments will not be universal. Chancellor Rachel Reeves told reporters that 'more people will get winter fuel payment this winter', adding that further details will be announced 'as soon as we possibly can'. She said: 'People should be in no doubt that the means test will increase and more people will get winter fuel payment this winter.' My instant response to Winter Fuel Payment news & key message to the Chancellor (I heard while walking to the office, so pls forgive the fact it was done there and then for speed) — Martin Lewis (@MartinSLewis) June 4, 2025 Pensions minister Torsten Bell told MPs that, while more pensioners will be eligible, there is no prospect of returning to universal winter fuel payments. Speaking to the Work and Pensions Committee, Mr Bell said: 'Directly on your question of is there any prospect of a universal winter fuel payment, the answer is no, the principle I think most people, 95% of people, agree, that it's not a good idea that we have a system paying a few hundreds of pounds to millionaires, and so we're not going to be continuing with that. 'But we will be looking at making more pensioners eligible.' (Image: House of Commons/UK Parliament/PA Wire) The decision to means-test the previously universal payment was one of the first announcements by Chancellor Rachel Reeves after Labour's landslide election victory last year, and it has been widely blamed for the party's collapse in support. The Government has insisted the policy was necessary to help stabilise the public finances, allowing the improvements in the economic picture which Sir Keir said could result in the partial reversal of the measure. Pension Credit is currently the primary benefit by which pensioners can receive the winter fuel payment. The credit tops up incomes for poorer pensioners and acts as a gateway to additional support, including the winter fuel payment. Recommended reading: What were the cuts to winter fuel payments, and who currently receives them? On July 29 2024, the Government announced that from winter 2024, winter fuel payments would be dependent on receiving another means-tested benefit, as part of measures to fill a 'black hole' in the public finances. This meant the number of pensioners receiving the payment was reduced by around 10 million, from 11.4 million to 1.5 million. Asked what groups who are currently missing out on winter fuel payments he would like to include again, if possible, Mr Bell told the committee: 'We are committed to the principle that there should be some means-testing and that those on the highest incomes shouldn't be receiving winter fuel payments in the context of wider decisions we have to make – and fairness is an important part of that. 'You can then take from that that my priority is those who are on lower incomes but have missed out.'
South Wales Argus
05-06-2025
- Politics
- South Wales Argus
Fund Winter Fuel Payments with MP expenses cut says petition
The petition was started by Yvonne Keegan, who calls for the benefit to be reinstated: "I know first hand the importance of Winter Fuel Payment - it's a lifeline to pensioners during the harsh winter months. Their heating bills can skyrocket, and they end up struggling, trying desperately to keep themselves warm. "Meanwhile, our politicians are living comfortably with expenses that would be considered extravagant by most standards. We believe that our politicians – who have a stable income, can afford to pay their heating bills and do not need taxpayer-funded expenses to support this aspect of their lifestyle." Once a petition reaches 10,000 signatures, the Government responds, and if 100,000 people sign, a debate in Parliament is considered. This petition currently has 110,421 signatures. Signatures can still be added here. How much do MPs get paid? MPs' basic salary rose 2.8% to £93,904 from April, after Parliament's expenses watchdog linked it to wider proposals for the public sector. They can also claim expenses including: Office expenses Office running costs Staffing costs Travel for staff Centrally purchased stationery Postage costs Central IT costs Communications allowance They also receive allowances towards having somewhere to live in London and in their constituency, and travelling between Parliament and their constituency. MPs can claim their utility bills, including gas, electricity, other fuel and water bills, on expenses at a single property, either in London or their constituency. This is only available to those who aren't MPs in London, or don't occupy 'grace and favour' accommodation in London. There is no upper limit on how much MPs can claim back on heating and fuel costs. Which pensioners will receive Winter Fuel payments after the changes? The Government has said more pensioners will receive winter fuel payments, but payments will not be universal. Chancellor Rachel Reeves told reporters that 'more people will get winter fuel payment this winter', adding that further details will be announced 'as soon as we possibly can'. She said: 'People should be in no doubt that the means test will increase and more people will get winter fuel payment this winter.' My instant response to Winter Fuel Payment news & key message to the Chancellor (I heard while walking to the office, so pls forgive the fact it was done there and then for speed) — Martin Lewis (@MartinSLewis) June 4, 2025 Pensions minister Torsten Bell told MPs that, while more pensioners will be eligible, there is no prospect of returning to universal winter fuel payments. Speaking to the Work and Pensions Committee, Mr Bell said: 'Directly on your question of is there any prospect of a universal winter fuel payment, the answer is no, the principle I think most people, 95% of people, agree, that it's not a good idea that we have a system paying a few hundreds of pounds to millionaires, and so we're not going to be continuing with that. 'But we will be looking at making more pensioners eligible.' (Image: House of Commons/UK Parliament/PA Wire) The decision to means-test the previously universal payment was one of the first announcements by Chancellor Rachel Reeves after Labour's landslide election victory last year, and it has been widely blamed for the party's collapse in support. The Government has insisted the policy was necessary to help stabilise the public finances, allowing the improvements in the economic picture which Sir Keir said could result in the partial reversal of the measure. Pension Credit is currently the primary benefit by which pensioners can receive the winter fuel payment. The credit tops up incomes for poorer pensioners and acts as a gateway to additional support, including the winter fuel payment. Recommended reading: What were the cuts to winter fuel payments, and who currently receives them? On July 29 2024, the Government announced that from winter 2024, winter fuel payments would be dependent on receiving another means-tested benefit, as part of measures to fill a 'black hole' in the public finances. This meant the number of pensioners receiving the payment was reduced by around 10 million, from 11.4 million to 1.5 million. Asked what groups who are currently missing out on winter fuel payments he would like to include again, if possible, Mr Bell told the committee: 'We are committed to the principle that there should be some means-testing and that those on the highest incomes shouldn't be receiving winter fuel payments in the context of wider decisions we have to make – and fairness is an important part of that. 'You can then take from that that my priority is those who are on lower incomes but have missed out.'
