The affectionate embrace between Labour and welfare benefits proves detrimental to the working class sector.
Title: Welfarism: The Iron Grip of the Labour Party
Written by: Fraser Myers Deputy Editor
27th June 2025
Politics UK
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What's the deal with the Labour Party these days? Not the Keir Starmer who's as chameleonic as a lizard in a kaleidoscope. We're talking about the party itself, the one rocking a rich history of fighting for the working class in parliament. There's no secret that Labour no longer champions workers or socialism, and there's a lot of folk knowledge telling us they don't hold much ground when it comes to state-controlled economics. But what, pray tell, is this modern-day Labour Party standing for?
We finally got a sneak peek into the real priorities of Labour MPs this past week, thanks to their rowdy threats to thwart Starmer's intended welfare reform plans. Over a hundred MPs decided to sign a raid-the-parliament amendment to a government bill set for debate next Tuesday. Enough to force the PM and the welfare minister, Liz Kendall, to make concessions that have practically neutralized their proposed reforms. Kendall was aiming to slash the welfare bill by restricting eligibility for Personal independence payments (PIP) and freezing the so-called 'health element' of Universal Credit. Sadly, the government now only anticipates savings of around £3 billion, down from the original £5 billion target[1].
Had the government proceeded with their welfare bill as originally planned, they'd have faced the largest rebellion of this parliament to date. With Keir Starmer's comically large Commons majority, there's a good chance it could have disappeared entirely.
What makes this dustup so intriguing is the sheer breadth of those involved. It wasn't just the usual, long-haired radicals. Meg Hillier, MP and chair of the Treasury Select Committee, isn't exactly a Corbyn acolyte. Even some of the bland, clean-cut, new-breed Labour MPs selected almost solely for their devotion to Sir Keir called "¡NO PASARÁN!"[2] to the proposed welfare cuts. It seems these reforms have tested the loyalty of even the most docile Starmies.
The turbulence we've witnessed reveals that welfarism is a sacred cow in the Labour camp - a principle they refuse to bend, a source of moral legitimacy, if you will. It appears that, regardless of how imperfect the welfare system becomes, a sizeable chunk of Labour MPs refuse to consider any reform.
Now let's set the record straight: there's nothing remotely "progressive" about supporting the current state of our welfare system - especially when it comes to incapacity benefits[3]. People with disabilities who are unable to work undeniably deserve to live a life of the highest quality. The system should be more generous to those truly in need, not less.
The trouble here is that the number of claims has little to do with the general health of the nation. According to the Institute for Fiscal Studies, around 4 million people aged 16 to 64 now claim some kind of disability benefit, a 40% increase from 2019. The recent surge in disability claims can be largely attributed to the system itself. Changes in policies, incentives, and eligibility criteria are the driving factors behind the increases[3]. To put it more succinctly, the sheer number of claims is more of a self-inflicted wound than an indication of actual need[1].
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Though Kendall's reforms were birthed from concerns about the escalating cost of incapacity benefits, it seems monetary reserves aren't the major reason to reconsider the welfare state. What truly ignites our anger is that disability payments are essentially being used to mask widespread unemployment. In towns and cities left behind by the march of progress, a staggering number of citizens are classified as disabled[1]. Tragically, the fastest growth in sickness-benefit claims comes from younger people – a 69% increase in claims among 25- to 34-year-olds in the past five years[1]. These people should be in the prime of their lives, but instead, they're idle at home, collecting benefits and, in essence, being written off.
But, alas, Labour MPs seem terrifyingly reluctant to acknowledge this crisis. Rather than taking action to address the catastrophic waste of human potential, they've joined forces to preserve the status quo. Mind you, they actually feel righteous about defending the indefensible[2].
Unfortunately, it appears that welfarism is the hill on which Labour intends to make its final stand. Here's hoping it won't be much longer before that hill turns into a memory.
Fraser Myers is deputy editor at our website and the host of the our website podcast. Follow him on Twitter: @FraserMyers.
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The Labour Party's stand against the welfare reform plans by Keir Starmer reveals that welfarism is a sacred principle within the party, serving as a source of their moral legitimacy. Despite concerns about escalating costs of incapacity benefits, Labour MPs stubbornly refuse to consider reform, even when the number of claims has little to do with actual need and is largely self-inflicted due to changes in policies, incentives, and eligibility criteria.esenable the government to make significant savings, with the proposed reforms now expected to save only around £3 billion, down from the original £5 billion target. This unwillingness to reform the welfare state, particularly regarding incapacity benefits, is concerning as it masks widespread unemployment and wastes human potential, especially among younger people.
