SCOTTISH Labour have remained silent amid reports that Rachel Reeves is planning billions of pounds of cuts to welfare spending.
The Chancellor will deliver her Spring statement on March 26, but her financial headroom has reportedly been wiped out since the October Budget, meaning she will have to find more money in order to meet her fiscal rules.
According to the BBC, Reeves plans to save several billion pounds by making austerity cuts to the welfare budget with health-related benefits being targeted.
First Minister John Swinney said he was “troubled” by the reports, while SNP Westminster leader Stephen Flynn said the cuts would be “deeply damaging” for Scotland and that it would break “yet another election promise”.
Scottish Labour leader Anas Sarwar Last year in the run up to the General Election, Scottish Labour leader Anas Sarwar said that his party would not bring in austerity if they were to gain power during a BBC debate.
The National reached out to Scottish Labour asking whether Sarwar had any response to the reports – but received no response.
Commenting on Wednesday, SNP Westminster leader Stephen Flynn said neither Keir Starmer nor Sarwar “can be trusted to keep their promises”.
He said: “Labour Party plans to take an axe to public services, and impose billions of pounds of austerity cuts, would be deeply damaging for Scotland and it breaks yet another election promise.
SNP Westminster leader Stephen Flynn “Voters were promised an end to Westminster cuts but instead the Labour government has stripped the winter fuel payment from Scottish pensioners, blocked WASPI women from getting compensation, and pushed thousands of Scottish children into poverty by continuing punitive welfare cuts like the two-child benefit cap.
“The news that the Labour Party will now slash billions more from our public services is a total betrayal of what voters were told at the election - and it shows that neither Keir Starmer or Anas Sarwar can be trusted to keep their promises.”
Meanwhile, First Minister John Swinney said: “I’m troubled by the reports that are coming out of the UK Government about reductions in welfare spending, because I think that will inevitably add to the challenges that are faced by individuals facing vulnerability in our society.
“My top priority is to eradicate child poverty and I can’t imagine that will be helped if the UK Government is reducing welfare spending into the bargain.”
The reports of the planned cuts by the Chancellor follow the Office of Budget Responsibility (OBR) indication that Reeves had £9.9 billion of headroom back in October.
However, a UK Government insider told the BBC “clearly the world has changed” since the OBR’s statement last year, with worries over slowing economic growth and US tariffs.
Scottish Labour did not respond to The National’s request for comment.