Labour is braced for a backlash from its MPs over welfare cuts called ‘appalling’ by a foodbank charity
Rachel Reeves was accused of balancing the books at the expense of the poor in her spring statement, as official figures showed three million households could lose £1,720 a year in benefits.
The chancellor confirmed welfare cuts of £4.8bn, but insisted the government’s priority was to restore stability to the public finances in the face of rising global borrowing costs.
Economists warned Reeves could be forced to come back with more tax rises in the autumn, with the Office for Budget Responsibility (OBR) saying that any tariffs imposed by Donald Trump may upend their forecasts.
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Ruth Curtice, the director of the Resolution Foundation thinktank, said while Reeves was right to balance the books, she was “wrong to do so on the backs of low- to middle-income families, on whom two-thirds of the welfare cuts will fall”.
Helen Barnard, the director of policy at the food bank charity Trussell, said: “The insistence by the Treasury on driving through record cuts to disabled people’s social security to balance the books is both shocking and appalling. People at food banks are telling us they are terrified how they’ll survive.”
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