Nine Lib Dems rebel as Osborne's welfare bill clears another hurdle

Charles Kennedy, Sarah Teather and seven others vote against bill capping benefit increases at 1 per cent for each of the next three years.

The coalition's Welfare Benefits Uprating Bill (artfully renamed by Andrew Rawnsley as "The Make Labour Look Like the Party for Skiving Fat Slobs bill"), which introduces a 1 per cent cap on benefit increases for each of the next three years, comfortably made its way past the Commons last night, with MPs voting by 305 votes to 246 to give the bill a third reading. 

When MPs first voted on the bill earlier this month there were six Lib Dem rebels. Four of the party's 57 MPs - Julian Huppert, John Leech, Sarah Teather, David Ward - voted not to give the bill a second reading, while Andrew George and Charles Kennedy formally abstained by voting in both lobbies. Last night this total increased to nine. Below, I've listed those who voted against the bill and, where applicable, have included how far up they appear on Labour's target list of 106 seats. The Conservatives intend to target 20 Lib Dem seats at the general election but have yet to release a full list. 

1. Andrew George (St Ives)

Majority: 1,719

2. Martin Horwood (Cheltenham)

Majority: 4,920

3. Julian Huppert (Cambridge)

Majority: 6,792

Labour target 103

4. Charles Kennedy (Ross, Skye and Lochaber)

Majority: 13,070

5. John Leech (Manchester Withington)

Majority: 1,894

Labour target 31

6. Alan Reid (Argyll and Bute)

Majority: 3,431

Labour target 64

7. Adrian Sanders (Torbay)

Majority: 4,078 

8. Sarah Teather (Brent Central)

Majority: 1,345

Labour target 23

9. Mark Williams (Ceredigion)

Majority: 8,324

The most notable moment in the debate came when Labour's shadow employment minister Stephen Timms was asked whether it was his party's policy that benefits should be uprated in line with inflation, rather than by 1 per cent (a real-terms cut). Timms replied: "Uprating should indeed be in line with inflation, as it always was in the past." He later added: "We reject the proposal to restrict the uprating of social security and tax credits to 1% in our view, as I have already said uprating should be in line with inflation and it should be assessed as it always has been at the end of the preceding year." 

Timms's words were significant because, as I noted yesterday, Labour's amendment to the bill simply called for the cancellation of the 1 per cent rise, rather than for benefits to rise in line with the Consumer Price Index as normal. The Tories leapt on his statement as proof that Labour was committed to inflationary rises in benefits for the next three years. The party's Tiggerish chairman Grant Shapps commented: "Labour have committed to pay for more generous benefit rises with more borrowing and more debt. That’s exactly how they got us into this mess in the first place. Labour haven’t learnt and would do it all over again."

But Labour has since argued that Timms's words only reflected the party's existing position of increasing benefits in line with inflation this year (2013-14) and did not amount to a commitment to do so in 2014-15 and 2015-16. As the BBC's James Lansdale notes, on 6 January Ed Balls told Sky News: "The normal thing is to index and the government would normally have indexed in line with inflation and to be honest, I think that would be fair." He added: "It's not responsible for me as a shadow chancellor to come here two and a half years ahead and tell you what we can do about taxes or spending or benefits."

So, in other words, nothing has changed. But expect the Tories to continue to challenge Labour to give a much clearer indication of how it would behave in 2015. 

Former Liberal Democrat leader Charles Kennedy was one of nine Liberal Democrat MPs to vote against the Welfare Benefits Uprating Bill. Photograph: Getty Images.

George Eaton is political editor of the New Statesman.

Getty Images.
Show Hide image

PMQs review: Jeremy Corbyn turns "the nasty party" back on Theresa May

The Labour leader exploited Conservative splits over disability benefits.

It didn't take long for Theresa May to herald the Conservatives' Copeland by-election victory at PMQs (and one couldn't blame her). But Jeremy Corbyn swiftly brought her down to earth. The Labour leader denounced the government for "sneaking out" its decision to overrule a court judgement calling for Personal Independence Payments (PIPs) to be extended to those with severe mental health problems.

Rather than merely expressing his own outrage, Corbyn drew on that of others. He smartly quoted Tory backbencher Heidi Allen, one of the tax credit rebels, who has called on May to "think agan" and "honour" the court's rulings. The Prime Minister protested that the government was merely returning PIPs to their "original intention" and was already spending more than ever on those with mental health conditions. But Corbyn had more ammunition, denouncing Conservative policy chair George Freeman for his suggestion that those "taking pills" for anxiety aren't "really disabled". After May branded Labour "the nasty party" in her conference speech, Corbyn suggested that the Tories were once again worthy of her epithet.

May emphasised that Freeman had apologised and, as so often, warned that the "extra support" promised by Labour would be impossible without the "strong economy" guaranteed by the Conservatives. "The one thing we know about Labour is that they would bankrupt Britain," she declared. Unlike on previous occasions, Corbyn had a ready riposte, reminding the Tories that they had increased the national debt by more than every previous Labour government.

But May saved her jibe of choice for the end, recalling shadow cabinet minister Cat Smith's assertion that the Copeland result was an "incredible achivement" for her party. "I think that word actually sums up the Right Honourable Gentleman's leadership. In-cred-ible," May concluded, with a rather surreal Thatcher-esque flourish.

Yet many economists and EU experts say the same of her Brexit plan. Having repeatedly hailed the UK's "strong economy" (which has so far proved resilient), May had better hope that single market withdrawal does not wreck it. But on Brexit, as on disability benefits, it is Conservative rebels, not Corbyn, who will determine her fate.

George Eaton is political editor of the New Statesman.