Healey pledges welfare cut before election as Labour faces backlash

Chancellor John Healey has promised a reduction in the welfare bill before the next election, telling broadcasters the government is ready to take tough decisions to rein in spending.

Healey said it was not progressive for welfare spending to rise from £334 billion last year to £413 billion by 2030, and insisted cuts would be made in a Labour way by helping people into work.

“There will be a reduction in the benefits bill”

Downing Street later denied that any commitment had been made, insisting there was no arbitrary timetable for reducing welfare costs and saying Healey's views were completely in line with those of Andy Burnham.

The Prime Minister said the government wants to get the welfare bill down as quickly as possible and is working hard to support people and cut costs as soon as it can.

The pledge came amid criticism that yesterday's Budget contained no action on welfare, with opposition leader Kemi Badenoch accusing Labour of being addicted to welfare.

Forecasts show welfare spending will be £6 billion higher in 2030-31 than expected in March, with health and disability benefits set to exceed £100 billion a year by 2028-29.

Reviews by Alan Milburn on youth joblessness and Stephen Timms on disability payments were not finished before the Budget, delaying action on the rising bill.