Liz Kendall has made it through the first stage of her welfare reform plans without major backlash—but will her luck hold? For the work and pensions secretary, the key test was clear. As one Labour insider put it, if the headlines were dominated by disabled people fearing they’d be worse off, she’d have failed. But if the focus remained on getting more people into work, she’d have passed.
So far, things are going in her favour. While welfare reform is always a political minefield, Kendall has managed to clear two significant hurdles already. The first was the reaction in the House of Commons. While the Conservatives predictably argued the changes didn’t go far enough—despite having the power to act just months ago—the real concern was how Labour MPs would respond. A few voiced their discontent, but for the most part, criticism was muted.
Zarah Sultana was one of the few who spoke out loudly, but given that she’s been suspended as a Labour MP, her opposition didn’t carry much weight. Instead, many of Labour’s newer MPs stood up to back Kendall’s plans, echoing the party’s push to help people off benefits and into work, according to the Independent.
This wasn’t by chance. It’s the result of careful planning by Labour’s top strategists, including Keir Starmer’s chief of staff, Morgan McSweeney, and his team, who took a meticulous approach to selecting candidates. Their work ensured that today’s Labour MPs are largely aligned with the leadership’s vision—and it showed.
The second major test came later in the day when the Institute for Fiscal Studies (IFS) weighed in. The highly respected think tank described Kendall’s proposals as a “fundamental” shift from health-related benefits to basic out-of-work support. While it raised some questions about the finer details, the key takeaway was that no specific group was identified as being unfairly disadvantaged—a political win for Kendall.
Her reforms won’t stop benefits spending from increasing over the next five years, but they will slow it down. Instead of rising by £25 billion annually, it will increase by £20 billion—a £5 billion saving that Chancellor Rachel Reeves needs to balance the books next week.
Selling this as anything other than a cut will take effort, but Labour ministers are already laying the groundwork. Pat McFadden, the Cabinet Office minister and longtime Blairite, made the case clearly on the BBC’s Today programme, saying: “You can’t tax and borrow your way out of the need to reform the state.” He also reminded Labour MPs that they were “elected on a platform of change.”
Some MPs, speaking off the record, admit these aren’t the changes they signed up for. But many of Labour’s new intake have embraced the idea that leaving one in 10 working-age people stuck on sickness benefits isn’t something to defend.
For now, Kendall has avoided any major political disasters. But with welfare reform always a contentious issue, the real test will be whether she can keep both the public and her party on board as the details unfold.
