THE Labour government will press ahead with £1.3 billion in annual cuts to UK sickness benefits which was previously announced by the Tories, according to people briefed on the plans.
Rachel Reeves is considering around £3bn of cuts to the welfare bill over the next four years by restricting access to sickness benefits, with work and pensions secretary Liz Kendall is expected to decide how the system will be changed.
The Labour Government is expected to retain the changes to the “work capability assessment” that were introduced last year by then-prime minister Rishi Sunak with critics saying they “should be utterly ashamed of themselves”.
Disability rights activists previously called on Kendall to reverse the changes, as they said they pose severe risks to vulnerable people living with mental and physical conditions.
The Tory proposals would change the welfare eligibility so that around 400,000 more people who are signed off long-term would be assessed as needing to prepare for employment by 2028.
The changes would also leave those affected with around £260 a month less in benefits.
Shirley-Anne Somerville, who is the Cabinet Secretary for Social Justice for the Scottish Government, has criticised Labour for reportedly choosing to go along with the previous government’s plans.
She said: “These proposals were originally made by the Tories but Labour are now choosing to implement them.
“Around 400,000 sick and disabled people could have their benefits cut by £260 a month.
“Labour should be utterly ashamed of themselves.”
The expected cuts to sickness benefits are part of Reeves's cost-cutting mission to fill a so-called £22bn black hole left by the Tories.
Very few people affected by the planned reforms would be expected to move back into work as a result, according to estimates published last November by the Office for Budget Responsibility (OBR).
According to the OBR’s figures, the policy would increase employment by just 10,000.
The proposed changes would primarily apply to people applying for disability benefits for the first time.
However, campaigners said the policy changes would apply to existing claimants when their circumstances change, like if they move house, for example.
The Department for Work and Pensions said: “Spiralling inactivity and millions of people denied the right support is holding the country back and stifling the economy.”
“We believe the work capability assessment is not working and needs to be reformed or replaced, alongside a proper plan to support disabled people,” it added.
