Reform UK’s plans to cut £50 billion per year from the welfare bill – unveiled yesterday by Robert Jenrick – are “extremely ambitious”, but also a “political risk”, said Ben Chu on BBC Verify.
Nigel Farage has said the party will not cut pensions, meaning roughly £207 billion of the overall £353 billion welfare budget is up for grabs, and Jenrick aims to cut around 25% of that.
Under the plans, long-term welfare claimants who are fit to work would be forced to do 20 hours of community work a week, and foreign nationals would be banned from claiming benefits altogether. Personal Independence Payments (Pip) to disabled claimants would be scrapped and replaced with a “health security allowance” with more stringent eligibility criteria that could exclude up to two-thirds of current recipients.
These proposals may fit Reform’s “current ideological appeal”, pollster Sir John Curtice told The Independent. But this has limitations to their wider appeal, and has the potential to significantly backfire with their base.
What did the commentators say?
The “centrepiece” of the policy is to exclude foreign nationals from claiming most UK benefits, said an editorial in The Times, including European Union citizens with settled status in the UK.
This is just another “calculated bang on the populist drum”: the majority of foreign nationals “don’t qualify in the first place”. UK visas stipulate a clause of “no recourse to public funds”. Not only would stripping entitlement from the 4.3 million EU citizens who have been in the UK for many years antagonise relationships with the bloc, it would be “pointless”; many of those with indefinite leave to remain would have a “near-certain chance of being granted British citizenship should they apply”.
But for the Reform base, a more pressing issue is the “proposed abolition of Pip”, said journalist Fraser Nelson on his Substack newsletter. “Every Reform MP sits on more Pip claimants than the majority that elected them.”
In Jenrick’s seat of Newark, where he was elected as a Conservative with a majority of 3,572, there are 6,011 residents who claim Pip. And almost all of Reform’s target seats are “heavily welfare dependent”. Jenrick risks going into the next election as “the Pip-snatcher, the grim reaper of welfare”. “The Labour attack lines write themselves.”
There’s no doubt that the welfare state “needs reform – but not Reform”, said The Independent’s editorial board. Not only would the proposed cuts impose “much misery on the most vulnerable in society”, but they would also “substantially weaken” the British economy.
Employers with more than five staff would “take on the role of the state in social insurance and health care”, carrying a “significant increase” in cost, risk and pastoral responsibilities. Afforded only “tiny tax breaks” in return, employers would be “even less willing to take on people with long-term conditions, or who they perceive as liable to develop them”.
There may be “flaws” in the Reform approach, but the ambitious scale of the reforms is “laudable”, said an editorial in The Telegraph. Jenrick is seeking to “revive” the “something-for-something contributory principle” of William Beveridge, “founder of the welfare state”, but is up against a system that is growing at an “unsustainable” pace.
What next?
Reform has been overtaken in the polls by Labour “for the first time in more than a year”, because of the “bounce” under Andy Burnham’s leadership, said the Financial Times. The government has said that it was “already reforming welfare by narrowing the gap between standard and health universal credit rates”, by reintroducing face-to-face assessments and “investing £3.5 billion in employment support”.
Burnham’s willingness to get to grips with the expanding welfare state is “likely to emerge as the key dividing line over the coming months”, said Rupert Yorke, former deputy chief of staff to Rishi Sunak, in The i Paper. “It remains to be seen whether he prioritises this issue with his backbenchers over his ambitious plans for regional devolution or social care”.