Tue, 01 Jul 2025

Tue, 01 Jul 2025 Labour rebellion clouds welfare bill win despite concessions

MPs approved the Universal Credit and Personal Independence Payment Bill but only after ministers made big changes.

* The government's benefits bill was approved by 335 votes to 260.
* However, this reduced their working majority from 165 to 75.
* The government had to offer last-minute concessions to Labour rebels to win the vote.
* They agreed not to change Pip rules until after a review of eligibility is completed.
* This means that existing claimants will be protected from stricter eligibility rules.
* The concessions also included reversing plans to freeze universal credit for existing health-related claimants, but new applicants would still get reduced payments.
* 49 Labour MPs voted against the bill, despite the government's changes.
* Several Labour MPs expressed anger and frustration at the last-minute changes, describing it as "absolute chaos" and a "shambles".
* The bill will now continue to be scrutinized in Parliament on July 9.
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