Chancellor John Healey says benefits bill will fall under Labour

Healey told the BBC that the benefits bill will be reduced under Labour, with a White Paper and legislation to follow reviews by Stephen Timms and Alan Milburn.

By Felo News Desk · Published

Labour Chancellor John Healey told the BBC’s Sunday With Laura Kuenssberg programme that the overall benefits bill will come down under Labour and that changes will start next year.

What happened

Healey said the government will begin altering the benefits system in the coming year and will bring the bill down, after earlier comments about the timing of cuts were misinterpreted. He added that the rate of increase in the benefits bill has already slowed since the election.

What the reports add

Both the Independent and the Evening Standard reported the same statements from Healey, noting that he rejected media suggestions that the bill would start falling before the next general election and said he never set a timetable for savings. The outlets also highlighted the Office for Budget Responsibility’s warning that sickness and disability benefits could cost £100 billion a year by the end of the decade.

What was said

Healey told the BBC: “The overall bill will come down under Labour. We’ll start the changes next year, and we’ll bring that bill down.” He added: “Since the election, we’ve already slowed down the rate of increase in the benefits bill, which was – the numbers were booming under the Tories. This is a system which is not working. We have to make big changes. We will.”

How it came about

Healey’s comments follow his maiden Budget and an OBR forecast of rising health‑related benefits. Earlier this year he urged Labour to curb the benefits budget at the party conference (Felo coverage). In October he pledged to cut the welfare bill while delaying major reforms until a youth‑unemployment review is published (Felo coverage). A government White Paper and legislation are expected next year after two reviews – one by social security minister Sir Stephen Timms into Personal Independence Payment and another by former health secretary Alan Milburn – are published later this month.

Key facts

  • John Healey said the overall benefits bill will come down under Labour. (independent.co.uk)
  • Changes to the benefits system will start next year. (independent.co.uk)
  • The OBR warned that sickness and disability benefits could cost £100 billion a year by the end of the decade. (independent.co.uk)
  • A White Paper and legislation are planned after reviews by Stephen Timms and Alan Milburn. (independent.co.uk)

Timeline

Sources

Earlier coverage

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