Burnham says he wants to cut welfare bill 'as soon as we possibly can'
The prime minister declined to guarantee welfare savings before the next general election as official forecasts show spending rising from £353bn this year to £431bn by 2031/32, prompting criticism from the Conservatives.
BBC Politics
Andy Burnham has said he wants to reduce the welfare bill "as soon as we possibly can", but was unable to guarantee this would happen before the next general election, which must be held by August 2029. His comments came after opponents criticised the lack of detail on welfare reform in Wednesday's Budget.
Welfare spending is forecast to rise by £19bn this year to £353bn, and the Office for Budget Responsibility expects the figure to reach £431bn in 2031/32, driven primarily by health-related and pensioner benefit spending. Of that total, £209.8bn is on pensioners, including the state pension and winter fuel payments, £110.7bn on universal credit and legacy equivalents, and £69.6bn on disability benefits such as personal independence payments.
Speaking during a visit to Derby, Burnham told reporters: "We want to get the welfare bill down as quickly as possible, and we're working flat out to that end." He warned against "crude cuts", arguing these would leave people in crisis and cost more public money elsewhere, and said the priority was getting people into "sustainable employment".
The prime minister faced questions over his approach after the Treasury disputed that Chancellor John Healey had suggested the benefits bill would be cut before the next election. Healey had told Radio 4's Today programme: "There will be, there will be a reduction in the benefits bill, we'll do that in a Labour way." Several Treasury sources took issue with that being interpreted as a promise by polling day, and Downing Street later said it was "not setting an arbitrary target or timetable".
The prime minister's official spokesman would not say whether the government's ambition meant reducing spending below its current level, or ensuring future rises are slower than currently projected. Pressed again for a timeline, Burnham said: "We're working hard to cut the welfare bill as soon as we possibly can. But we're doing it in a way that supports people into work."
Further details of the government's proposals are expected after two major reports are published in November. These include a review of disability benefits co-chaired by Labour minister Sir Stephen Timms, and one on young people not in education, employment or training led by former minister Alan Milburn. Burnham described the Milburn report as "the big next priority in front of us", adding: "We just want to get stuck into supporting people to help people off benefits and into work. There's no delay there."
The two reviews were announced by former prime minister Sir Keir Starmer after his attempt to make significant changes to the welfare system, including restricting eligibility for some health-related benefits, triggered a mass revolt of Labour MPs and an embarrassing climbdown in June 2025. The government has already pledged to reform the state pension triple lock from 2030, with more changes expected in the coming months.
Former Bank of England chief economist Andy Haldane, who has previously advised Burnham, told the BBC's Political Thinking with Nick Robinson podcast that a plan showing "greater restraint" of the benefits bill would "play spectacularly well" with financial markets. "If the government could get that through I think it would come with a huge bonus," he said.
Conservative leader Kemi Badenoch responded to the Budget by saying the country was "overspent, overborrowed, overtaxed, and drowning in an out-of-control welfare system", and her party accused Labour of being "addicted to welfare". Reacting to Thursday's briefings on the timing of any reduction, she said it "looks like foot in mouth syndrome is spreading", adding: "Don't let anyone tell you this was a 'do no harm budget'. In doing so little, Labour have harmed our economic security and they've harmed our national security."