Keir Starmer looks set to row back on cuts to winter fuel payments, in what will be widely seen as one of the most significant U-turn of his premiership so far.
But the partial rowback signalled today begs the question – will it be enough to prevent the biggest parliamentary rebellion yet in just a few weeks time in another row over welfare?
Speaking at PMQs, the Prime Minister said the government would look again at the threshold to allow more pensioners to qualify for support, in recognition of the ongoing cost of living crisis.
He did not provide any further details, adding that the government would “only make decision we can afford” and would look at increasing the threshold “as part of a fiscal event” – suggesting final plans won’t actually be unveiled until the autumn Budget.
While the party’s decision to means test the payment has been widely blamed for Labour’s defeats in the local elections, it is welfare reforms – and in particular cuts to the PIP disability benefit – that have incensed many across the Parliamentary Labour Party.
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More than 40 Labour MPs wrote an open letter to the Prime Minister saying the cuts were impossible to support, and more than 100 MPs have since written privately to Starmer, urging him to delay and rethink the proposals.
On the one hand, the rowback on might be seen by MPs as a sign that the government is listening to their concerns. It certainly gives them some red meat to throw angry constituents and party members.
On the other, LabourList has heard grumblings in private from MPs who are more concerned about the damage PIP cuts will cause their constituents than raising the threshold for winter fuel – which was at least already means tested.
It may also embolden them to demand a further u-turn on PIP, now that Keir Starmer has show he is for turning.
It’s a link figures on the left are making, Labour MP John McDonnell telling Sky News: “Questions have to be asked on how we got into this mess and if the lesson has also been learnt about the cuts to disability benefits.”
‘Backbench MPs won’t blink on this’
“Given the number of MPs who have expressed opposition to PIP cuts, it’s deeply concerning that seems to be no willingness to meaningfully change the proposals.”I see no signs of backbench MPs blinking on this. People are intensely loyal to the Labour movement, but tired of being taken for granted and ignored on issues central to our values. Without a willingness to engage with us on policy development the leadership are making a rod for their own back.”
He said it was easier to justify winter fuel cuts because they were means tested.
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“Means-testing meant those on the lowest incomes could be protected, while recognising pensioners are now the least likely age group to be in poverty.
“The threshold should have been set higher, and I wrote to the Secretary of State at the time to say so. Change on that point would be welcome, but it doesn’t give cover to removing support from people with high levels of disability, including those in the greatest poverty.”
Others worry that the cuts are taking attention away from the party’s successes.
PIP and winter fuel cuts are ‘drowning out’ successes
Speaking to LabourList, Lee Barron MP said the government is doing a lot of good, but it’s being “drowned out” by things like PIP and winter fuel payments.
“The winter fuel payments, don’t have any impact on (changes to PIP), as far as I’m concerned. If those plans are still the same, (and) the same amount of people are impacted, and the same amount of people are impoverished as a result of the changes, then they need to change those plans.”
He said MPs supported 80% of the contents of the green paper.
“But then there’s this sting in the tail, which turns around and says, because we’ve got to reach this fiscal saving, we’ve got to make cuts. And that’s where it’s unpalatable with many Labour MPs.”
He said he didn’t come into politics “to push people into poverty”.
“We came into politics to lift people out of poverty. The last Labour government lifted a million children out of poverty.”
In particular, he said he’d like to be able to reassure constituents who are concerned about the PIP cuts.
“I’ve got a parent whose son is in his late 20 with a mental age of eight, and they still don’t know if they’re going to be entitled to Personal Independence payments. What we’ve got to try and do, surely, is to reassure them.”
The door to number 10 ‘isn’t always open’
There’s also a general sense on the left at least that the government has ignored backbenchers’ concerns for too long, and a suspicion about the fact it also chose today for a Liz Kendall speech defending the government’s welfare reforms.
Speaking to LabourList, Andy McDonald questioned whether Keir Starmer is listening to what backbenchers have to say.
“Keir Starmer talks about hearing what people say, but you know, is he really? Is he listening? I don’t know. Let’s see.”
He said it was false to say the door to number 10 is always open to MPs.
“The falsehood is that the door of number 10 is always open, and we can have our say. It’s not, it’s just not going to happen. There’s a determination here.”
Speaking ahead of Kendall’s speech this morning, he added: “If that were the case, Liz Kendall wouldn’t be making the speech she’s going to make today the IPPR, which will be a doubling down, telling us all that we’ve got it wrong, she’s right, the Prime Minister’s right, this has to be done, and they won’t change course.
“If that’s the case, well, I’m afraid that’s only going to manifest itself in the ballot box in May of 2026, and in the general election.”
Nobody became a Labour MP to make people worse off
McDonald said the leadership “should think again” on welfare.
“They should really pause and look at this all again, because there’s nobody that thinks that the system works. It’s a terrible system. It does need reform, and getting disabled people back into work is a noble ambition, and one that I share.”
He said he was glad to hear that Angela Rayner had raised alternatives to spending cuts in a memo to Rachel Reeves, including a wealth tax.
“I think there are alternatives, and I’m somewhat cheered that at least that’s being raised in the Cabinet. I’ve long since advocated other ways of raising taxes.”
However, he wasn’t sure how many Labour MPs will rebel over PIP cuts.
“I just know that there are many, many, many Labour MPs who are greatly worried about this and think it’s the wrong thing to do.
“Nobody joined the Labour Party or stood to be a Labour MP to make their constituents worse off. And that’s the constant thing resonates with people, and they’re bewildered by a Labour government that thinks this is somehow the moral thing to do. It’s the exact opposite.”
Chris Webb MP told LabourList he was “delighted” Starmer had listened to MPs’ concerns.
“I didn’t vote for these changes and I consistently argued that the threshold should be above the pension credit level, acknowledging the challenges low-income pensioners face. This change will provide vital support to those who need it most.”
Fuel for the campaign for full reversal
Some MPs immediately welcomed the news on winter fuel, but one’s response showed the government will continue to face some pressure on the issue itself too.
Kate Osborne posted on social media: “Pleased to hear 10 Downing Street say we want to ensure that as we go forward that more pensioners are eligible for winter fuel payments. I have campaigned for the threshold for WFP to be lower and I’m pleased to hear the criteria will be widened but ultimately I believe in Universal Benefits and that’s what I will continue to push for.”
Clive Lewis posted on BlueSky: “It’s right to respond to widespread anger; whatever the details, more older people will be warmer. But not enough to atone politically, and I still want the principle of universality restored.”
Charities are not letting up lobbying for wider welfare reversals, either. Carers Trust’s CEO Kirsty McHugh said: “We welcome the Government’s change of heart over winter fuel payments. Now it must also think again on the rest of its devastating benefit cuts.”
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