MPs warn No 10: frontbenchers could quit over disability benefits plan

No 10 has been warned it could face frontbench resignations if it follows through with plans to freeze some disability benefits – a move that would require a vote in parliament.

Labour MPs have been particularly alarmed by a refusal, both in private and in public, by the prime minister and others in cabinet to commit to not cutting help for the most vulnerable disabled people who cannot work.

Downing Street has said it will “protect those who cannot work” but would not say they would be unaffected by the changes. Sources close to Liz Kendall suggested the work and pensions secretary had been trying to reassure MPs on that front.

A number of new MPs who spoke to the Guardian said they did not believe the government could push ahead with plans to freeze some personal independence payments (Pip) given the scale of the backlash.

MPs who met Keir Starmer’s political director, Claire Reynolds, and economic adviser, Rav Athwal, in No 10 this week said it was repeatedly emphasised to them that MPs’ fears were being taken onboard. The presentations to MPs had not contained any detail about the proposed changes, which some said had provoked further anxiety.

Among those who spoke out at the meetings were dozens of Starmerite MPs from the new intake, who told No 10 the backlash would be “far worse than [that over] winter fuel” payments. They suggested any vote in parliament – only required for the Pip freeze – would lead to resignations potentially of parliamentary aides and a major rebellion.

Several senior ministers are understood to have expressed concerns in cabinet about the scale of the revolt, reportedly including the deputy prime minister, Angela Rayner, Ed Milband and Lucy Powell.

In the meeting, described as tense, Rayner, the justice secretary, Shabana Mahmood, and the home secretary, Yvette Cooper, also raised the impact of spending cuts on their departments and what this would mean for services. Their spokespeople all declined to comment.

Rachel Reeves, the chancellor, defended the attempts to change the welfare system on Friday, saying it was “absolutely clear that the current system is not working for anyone”.

She told the BBC: “It is not working for people who need support, it’s not working to get people into work so that more people can fulfil their potential, and it’s not working for the taxpayer when the bill for welfare is going up by billions of pounds in the next few years.

“So, we do need to get a grip. We need to spend more on national defence, but we need to reform our public services, and we need to reform our broken welfare system.”

The two proposed changes causing the most concern among MPs are plans to freeze some Pip and change the criteria for Pip, and a potential cut to universal credit for those unable to work – which is likely to hit people with mental health conditions particularly hard, as well as those with long-term conditions.

“Everyone is very uncomfortable at the idea of blanket cuts, as it will catch those with MS, dementia,” one MP said. “Those giving the presentations seem really tense, so there’s no detail on policy but plenty of nervousness, which means that they know it’s going to be bad but won’t tell you.”

Another MP said different factions among the parliamentary party wanted to coalesce to oppose different changes.

The change most likely to trigger resignations would be freezing Pip, which would require primary legislation. Resignations would be more likely among junior roles, such as parliamentary private secretaries, though a number of junior ministers are among those concerned.

The green paper setting out the changes will be published later next week – pushed back from Monday as the final agreement is thrashed out.

Ministers have until 21 March to make their final submissions to the Office for Budget Responsibility before the chancellor’s spring statement, though the watchdog is unlikely to take into account many of the changes which do not have a set saving.

Liz Kendall, the work and pensions secretary, has already secured a promise of £1bn for help to get people back into work, but MPs hope further mitigations can be agreed.

“It doesn’t help that we are told we are making the moral case for reform but at the same time being rushed to do this in time for the spring statement,” one MP said. “It undermines the idea of a moral case. It makes it just about saving money.”

A government source said it was unlikely the key measures that had been agreed would change but said there could still be “tweaks around the edges”.

Some Labour MPs who attended the discussions in Downing Street said they thought No 10 was listening to concerns, even if officials at the Treasury were reluctant to make changes.

“They’ve finally acknowledged the level of concern on this issue and know the future of the party’s unity really rests on this,” one said. “We, as a party and government, need to be offering people a helping hand into work.”

Asked about the reports of cabinet warnings about the cuts, Starmer’s deputy spokesperson said he could not “get into details of cabinet discussions”, and defended the planned cuts.

“The system we’ve inherited would swallow up more taxpayers’ money and leave more people trapped in a life of unemployment and inactivity,” he said. “That’s not just bad for the economy, it’s bad for people too, and that’s why this government will set out plans to overhaul the health and disability benefits system shortly so it supports those who can work to do so, whilst protecting those who can’t, to put welfare spending on a more sustainable path so that we can unlock growth.”