McDonnell pledges benefits reforms as he attacks top Tory’s “fatuous economic talk”

John McDonnell has said Labour will “in effect” cancel the Tory freeze on benefits as he engaged in a televised spat with a Tory cabinet minister.

He told the BBC that Labour reforms would make the freeze “irrelevant” but stopped short of pledging a formal abolition.

Labour has committed to reversing a series of iconic Tory social security measures, such as the introduction of the bedroom tax, which remains closely associated with George Osborne.

Today McDonnell said Labour would make reforms across the welfare system as he slammed the “fatuous economic talk” of Damian Green, the work and pensions secretary, on the Andrew Marr Show.

Labour’s social security proposals “would ensure that in effect we would be addressing this issue of how we reverse the benefit freeze itself”, McDonnell said.

“I want to do it as part of an overall reform package and not just pick off one by one.

“We’re putting £30bn in over the lifetime of a Parliament into welfare, we’re reforming the whole process… and the implication of that will be… the impact of these proposals will make the freeze irrelevant because we’ll reform the whole process.”

As Green accused McDonnell of planning to “tax the hell out of the economy”, the shadow chancellor defended Labour’s proposals for a series of nationalisation after the manifesto included a surprise measure to bring the water industry into public ownership.

McDonnell also confronted Green over his past directorship on a water company and accused him of distributing excess rewards to shareholders.

As Marr struggled to get a word in between the warring par, Green countered by saying: “You don’t understand capitalism”.

 

 

More from LabourList

DONATE HERE

Do you value LabourList’s coverage? We need your support.

Our independent journalists have been on the ground during this local and by-election campaign, which marks the first key electoral test of Keir Starmer’s government. 

We’ve been out and about with Labour activists and candidates across the country from Bristol to Hull, and will soon be heading to Cambridgeshire and Lancashire – as well as Runcorn and Helsby. We’ve also polled readers for their views on the campaign.

LabourList relies on donations from readers like you to continue its fair, fast, reliable and well-informed news and analysis. We don’t have party funding or billionaire owners. 

If you value what we do, set up a regular donation today.

DONATE HERE