Burnham says he wants to cut welfare bill 'as soon as we possibly can'

Prime Minister Andy Burnham has said he wants to cut 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. 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." Pressed again for a timeline, he 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." He warned against "crude cuts", arguing that such an approach would leave people in crisis and ultimately cost more public money elsewhere. "It's about getting people into sustainable employment," he said. Opponents raised concerns over the lack of detail on welfare reform in Wednesday's Budget, after welfare spending was forecast to increase from £353bn this year to £431bn in 2031/32. The Conservatives accused Labour of being "addicted to welfare". The prime minister faced questions about his approach after the Treasury disputed that Chancellor John Healey had suggested to the BBC that the benefits bill will be cut before the next election. When Healey was asked on Radio 4's Today Programme whether there would be a cut in the bill before polling day, he said: "There will be, there will be a reduction in the benefits bill, we'll do that in a Labour way." But several Treasury sources took issue with this being interpreted as a promise to do so by the next election. 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 to cut welfare spending meant reducing it below its current level, or ensuring that future spending rises at a slower rate than currently projected. Further details about 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 (Neet) led by former minister Alan Milburn. 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, resulted in a mass revolt of Labour MPs and an embarrassing climbdown in June 2025. Burnham said the "big next priority in front of us" is the publication of the Milburn report, adding: "We just want to get stuck into supporting people to help people off benefits and into work. There's no delay there." Former Bank of England chief economist Andy Haldane, who has previously advised Burnham, said if the government could provide a plan showing "greater restraint" of the benefits bill, that would "play spectacularly well" with the financial markets. He told the BBC's Political Thinking with Nick Robinson podcast: "If the government could get that through I think it would come with a huge bonus." Conservative Party leader Kemi Badenoch responded to the Budget by saying the country was "overspent, overborrowed, overtaxed, and drowning in an out-of-control welfare system". Reacting to government briefings on Thursday, 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." Welfare spending is forecast to rise this year by £19bn to £353bn. The Office for Budget Responsibility (OBR) said the 2031/32 figure is expected to be driven primarily by health-related and pensioner benefit spending. Of that forecast, £209.8bn is on pensioners, including the state pension and winter fuel payments, while £110.7bn is on universal credit and legacy equivalents and £69.6bn is on disability benefits such as personal independence payments. The government has already pledged to reform the existing state pension triple lock from 2030, and more proposals and changes to the welfare system are expected to emerge in the coming months.