Politics & Government

Welfare Bill Passes by Majority of 75 as Massive Climbdown Heads Off Labour Revolt

The UK government’s welfare reform bill has passed its second reading in the House of Commons with a majority of 75, following a significant last-minute climbdown intended to prevent a major internal rebellion within the Labour Party. 

The vote came after days of mounting pressure and concern from backbench Labour Members of Parliament (MPs) over proposed changes to disability benefits, particularly the Personal Independence Payment (PIP). In response to that pressure, the government removed the bill’s most controversial elements just hours before the vote, ensuring it could move forward without triggering a full-scale revolt.

Its original version included measures that would have tightened eligibility for PIP and aimed to reduce long-term welfare spending by an estimated £5 billion. However, criticism from disability advocates and various Labour MPs, many of whom publicly voiced opposition, forced ministers to reconsider. As a result, planned reforms to PIP have now been deferred until a review scheduled for 2026, significantly watering down the bill’s immediate fiscal impact.

Despite the changes, the government maintains that the reforms are part of a long-term strategy to improve the welfare system and encourage those who can return to work. Ministers insist the revised bill still represents meaningful progress, including changes to how sickness-related benefits are assessed for new claimants.

However, without the savings initially attached to the PIP changes, the current package no longer delivers the same level of budget relief. Analysts suggest the shortfall could be as high as £4.5 billion, raising questions about how the Treasury will close the gap.

The outcome also highlights tensions within Labour’s ranks, as the leadership balances policy ambitions with internal unity. While the government succeeded in securing passage of the bill, the episode has exposed divisions and raised concerns about how future reforms, particularly those affecting vulnerable groups, will be handled. For some MPs, the process reflected a lack of consultation and transparency, with last-minute amendments causing confusion and frustration during debate.

As the bill moves to the committee stage and eventually to the House of Lords, its final shape remains uncertain. What is clear for now is that the road to welfare reform will be politically and practically complex. The government faces the ongoing challenge of delivering change that is both fiscally responsible and socially fair, all while maintaining the support of its MPs.

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