Summary

  • Rachel Reeves has the prime minister's "full backing", a Downing Street spokesman says, after the chancellor was seen crying in the House of Commons

  • Asked why Reeves was tearful, her spokesperson says: "It's a personal matter, which - as you would expect - we are not going to get into"

  • Allies of Reeves later say she was upset after an altercation with Commons Speaker Lindsay Hoyle - although no-one the BBC spoke to witnessed the interaction personally

  • The scenes in the Commons were noticed in the financial markets, with the cost of government borrowing subsequently rising, the BBC's Faisal Islam writes

  • At the same session of Prime Minister's Questions, Conservative leader Kemi Badenoch says people are "frightened" of tax rises and asks Starmer to rule them out

  • Starmer responds: "No prime minister or chancellor ever stands at the dispatch box and writes budgets in the future

  • Last night, the government's welfare bill was approved by 335 votes to 260 after ministers made last-minute concessions to avoid possible defeat

Media caption,

Reeves appears tearful during PMQs

  1. Commons is running behind schedulepublished at 13:12 British Summer Time 1 July

    Joshua Nevett
    Reporting from Westminster

    MPs in the House of Commons are running behind schedule and the second reading of the government's welfare bill is delayed as a result.

    There’s a statement on paternity leave going on at the moment.

    The welfare debate is due to start between 13:45 and 14:00 BST.

  2. 'It's not cheap buying ready-made meals - it's gone up hugely'published at 13:09 British Summer Time 1 July

    Emer Moreau
    Business reporter

    Sixty-year-old Jayne from Wolverhampton is a wheelchair user, though she can walk short distances.

    She is worried that personal independence payment (Pip) will become a "two-tier system" if new claimants are given less money than current ones.

    Jayne says she's relieved the government is rolling back the changes but says problems with the systems remain. The assessment process, she says, is "a game of roulette".

    Pip assessments involve questions about tasks like preparing and eating food, washing and getting dressed. Each is scored from zero - for no difficulty - to 12 for the most severe.

    "I got four points on my last assessment and, even though my conditions have got worse with age, I could score one or two points instead [the next time]. It depends on the assessor."

    She also points to the high number of rejected applications that are overturned on appeal as evidence that many assessors are too harsh.

    Quote Message

    Most of my Pip is spent on heating and food. I can't prepare food myself anymore... it's not cheap buying ready-made meals; it's gone up hugely."

    Jayne

    In addition to energy bills and groceries, Jayne spends her Pip on maintaining her house. She pays a cleaner, because she cannot clean the house herself or go up the stairs to the first floor.

    "My conditions are not going to improve," Jayne says. "I wish they would."

  3. Analysis

    A government win is likely - but there is a touch of pessimismpublished at 13:00 British Summer Time 1 July

    Henry Zeffman
    Chief political correspondent

    On the surface, the government is on course to win on welfare this evening.

    Thirty-nine Labour MPs have signed Rachael Maskell’s amendment, which would block the legislation.

    That’s a lot, but not enough to defeat the government given its vast majority.

    And yet… the mood among some in government who are close to the parliamentary numbers is a touch more pessimistic than you might expect. There are those who believe tonight’s votes are still in the balance.

    That may be over-caution. But it’s worth being aware of.

  4. 'I might not need benefits if the cost of living was lower'published at 12:56 British Summer Time 1 July

    Emer Moreau
    Business reporter

    Stephanie, a 50 year old white woman, wearing glasses and a dark t shirtImage source, Stephanie
    Image caption,

    Stephanie has had spinal problems for 20 years

    Stephanie, 50, lives in Dronfield, North East Derbyshire, and has severe spinal problems that affect her mobility and energy level.

    She spends her personal independence payments (Pip) mainly on groceries and transport. Pre-chopped vegetables, because she can't prepare food herself, and taxis, as she can't drive and public transport where she lives is minimal.

    Stephanie says the government could save money on benefits bills if the cost of living came down.

    Quote Message

    I might get the winter fuel payment this year but I probably wouldn't need it if my energy bills weren't double what they were pre-Covid."

    Stephanie

    Stephanie was a carer for her mother, who has dementia, for 20 years. When her mum went into a home, Stephanie immediately found a job working remotely for a telecoms company but had to give it up after a few months because of her disability.

    "I've had these disabilities for 20-odd years but I never claimed [benefits].

    "I absolutely loved the job. If I could work now, I would, but I am physically unable to," Stephanie says.

    She's worried about her next Pip review in 2028: "Do they treat it like a new claim? It was an absolute nightmare to try and get on to it."

  5. What to watch out for during the upcoming debate in the Commonspublished at 12:45 British Summer Time 1 July

    Joshua Nevett
    Reporting from Westminster

    I’ve just arrived in the House of Commons chamber, where MPs will debate and later vote on the government’s changes to the benefits system.

    Chancellor Rachel Reeves and her Treasury team are taking topical questions at the moment.

    But later this afternoon, the second reading of the Universal Credit and Personal Independence Payment Bill will follow.

    A vote will be held on whether the bill should pass to the next stage.

    Although a Labour rebellion of about 50 MPs is expected, the bill is likely to pass. We should stress the exact number of rebels is in flux, though.

    And there’s something important to watch out for.

    The Speaker of the House of Commons could choose to give MPs a vote on an amendment that could kill the bill entirely if enough Labour and opposition MPs back it.

    Again, that’s unlikely to happen, but we’ll keep a close eye on the Speaker and what he decides to do.

  6. 'A chaotic compromise' - how the Tories have reacted to Labour's welfare planspublished at 12:30 British Summer Time 1 July

    Helen Whatley arriving at the BBC's London Broadcasting House.Image source, PA Media

    The Conservatives' shadow work and pensions secretary Helen Whately has called Labour's plans a "chaotic compromise".

    She says the proposed changes would save £2.5bn from a £100bn bill and adds that the plans had been rushed.

    Whately says savings could be made by increasing the number of assessments carried out face-to-face and tackling the "rising claims for common mental health problems such as anxiety and depression".

    Tory leader Kemi Badenoch has confirmed her party will be voting against the government's bill, arguing it does not offer "serious welfare reform".

  7. BBC Verify

    How many people claim disability benefits?published at 12:21 British Summer Time 1 July

    By Ben Chu and Tom Edgington

    The government says reform is necessary to deal with an increase in the number of people claiming health-related benefits.

    In 2019 almost three million working-age adults in England and Wales claimed either disability or incapacity benefit - that's one in 13 of the population.

    As of March 2025, this had grown to about four million, or one in 10 of the population, according to research from the Institute for Fiscal Studies (IFS).

    The rise in claims for disability benefits since 2019 looks to have been largely driven by claimants citing a mental or behavioural condition as their main reason for applying.

    According to data from the IFS, claims in the “mental and behavioural disorders” category now account for 7.5% of all claims - up from around 4% in 2002.

    A bar chart showing the percentage of people claiming benefits for various kind of health and disability benefits. There has been a considerable increase in the number of people claiming for mental and behavioural conditions while other causes have been relatively stable.
  8. How can we ever reduce government debt?published at 12:14 British Summer Time 1 July

    Faisal Islam
    Economics editor

    A black banner which says 'Your Voice Your BBC News'

    A question from our audience on BBC TikTok asks: What is the government's fiscal position and how can it ever reduce government debt?

    The government would argue this is why they have to be so careful and the bill is unsustainable.

    If we take a step back, we get the message that there are a lot of things the government can't do.

    They've ruled out various large tax levers as part of their manifesto, such as changing the triple lock on pensions, or their commitment to defence.

    When you look for flexibility, ways that they can respond to changing events around the world, it does look quite tricky.

    It goes back to this point of putting in place borrowing rules, but the target moves depending on what's happening.

    It was a shift in the rate of interest charged to governments that the chancellor responded to with this set of proposals. That process starts again.

    That's the challenge in terms of balancing the books that the chancellor says she is seized with right now.

    And with that, your questions answered comes to a close.

    A bar chart showing public sector net debt excluding public sector banks as a percentage of GDP, from March 1944 to May 2025. As of March 1944, net debt was around 200% of GDP. It rose to over 250% in the late 1940s, before falling close to 20% in the early 1990s. The figure has gradually risen since then, hitting 96.4% of GDP as of May 2025.
  9. Why cut welfare instead of an energy windfall tax?published at 12:05 British Summer Time 1 July

    Henry Zeffman
    Chief political correspondent

    BBC Your Voice Your BBC News banner. A collage of four people sits in the middle

    A question from an Instagram user: Why do this rather than an energy windfall tax?

    What is absolutely the case is there are lots of Labour MPs who would sooner generate revenue in other ways than cut welfare spending.

    I think what you will see, especially after the concessions last week, is even more talk here in Westminster that within the Budget in the autumn, the government will increase tax in some ways, and it's going to be an interesting process to see which taxes the government might alight on.

    There is a real resistance in the Treasury and cabinet, and people I speak to, to this idea they say some of their colleagues have which is that there is some magical quick fix. A wealth tax or other tax that would make all the different economic problems they face go away. But that is not the dominant mode of thinking in Downing Street.

    • The Energy Profits Levy was introduced in May 2022 by the then-Chancellor Rishi Sunak and is due to remain until 2030 - read more in our explainer
  10. Will people who go through Pip reviews be classed as new claimants?published at 11:56 British Summer Time 1 July

    Nikki Fox
    Disability correspondent

    YVYN banner

    James asks: Will people who go through Pip reviews, typically every three years, be classed as new claimants?

    This is a question that I've been asked a lot and I've spent the past few days trying to get to the bottom of it.

    When you're given your Pip reward, you're always given an end date; this depends on your disability.

    When you get to that end date you'll need to be reassessed. We've heard from the government that existing Pip payments will be protected.

    But if somebody claiming Pip now gets reassessed, will they be reassessed under the existing rules instead of the new, tighter four-point minimum criteria?

    The Department for Work and Pensions has confirmed that existing claimants of Pip now, regardless of when they get reassessed, will be reassessed under the existing rules.

    They will not be reassessed under the new four-point minimum requirement.

  11. Analysis

    Reeves may need to increase taxes to stick to fiscal rulespublished at 11:48 British Summer Time 1 July

    Dharshini David
    Deputy economics editor

    Rachel ReevesImage source, Getty Images

    We'll be bring you our experts' answers to your questions shortly, but while we're waiting here's some analysis from our deputy economics editor.

    The amendments to the welfare bill the government has conceded will bring relief to some – but also highlights the challenges for the public purse.

    Add in funding the U-turn on winter fuel payments, higher borrowing costs and a weaker growth outlook and the chancellor may need to find up to £20bn extra in the Budget if she’s to stick by her self-imposed fiscal rules.

    Economists reckon she’ll most likely opt to increase taxes - the equivalent of raising the basic rate of income tax by 3p (although the government has ruled that particular measure out; it is more likely to extend the freeze on thresholds at which different rates of tax on income apply, fiscal drag, which is just as painful for workers).

    It also highlights the challenge of curbing a soaring welfare bill; the initial measures only aimed to reduce a projected rise in the sickness-related welfare bill for those of working age of £30bn in next few years by £5bn.

    And a further challenge to any attempts to reduce welfare payments has emerged; getting back into work has become harder.

    Official figures show employment has been falling in some sectors - such as hospitality and retail - those where claimants may be most likely to seek.

    Surveys show many employers in these sectors citing the chancellor's own measures, including higher national insurance contributions, as deterring hiring plans.

  12. BBC experts answer your questions on welfare - watch livepublished at 11:29 British Summer Time 1 July

    YBYN Banner

    Our experts are about to start answering your questions on the government's proposed welfare reforms.

    As a reminder, we'll be hearing from chief political correspondent Henry Zeffman, disability correspondent Nikki Fox, and economics editor Faisal Islam.

    You can follow our updates on all of their insights here, or press the watch live button at the top of the page to follow our live stream.

  13. 'I'll go from active in the community to housebound without Pip'published at 11:26 British Summer Time 1 July

    Dennis Queen currently claims personal independence payments (Pip), and she tells BBC 5 Live that the money she receives is not a "free dinner", but instead crucial to compensating for "the additional costs that we face every day, every week, ever year".

    "I’ll go from somebody who can participate in the community and can work part time, to someone who’s completely housebound," Queen, who is a disability campaigner and part of the group Manchester Disabled People Against Cuts, says.

    She explains that she would struggle to get to work or see her family as a result.

    She suggests the payments are "only there as an attempt to level the playing field slightly and it does a good job of it when it’s allowed to get on and do that".

    As a reminder, our experts will be answering your questions sent in to us about Labour's proposed welfare reforms from 11:30 BST today.

  14. MPs gear up to vote on welfare bill - how today shapes uppublished at 11:21 British Summer Time 1 July

    A fox runs in front of Downing StreetImage source, Getty Images

    We're all set for a busy day in the House of Commons. Here's a glance at how today's events are scheduled to play out:

    11:30 - Chancellor Rachel Reeves takes questions from MPs in the House of Commons, where she is sure to be asked about the government's proposed welfare bill.

    Also at 11:30 - Our experts will be fielding your questions on welfare reform - we'll have their answers here and you'll be able to watch live at the top of the page.

    13:30 - The final debate on the welfare bill is scheduled to begin.

    19:00 - MPs will vote on whether to pass the welfare reform bill through the House of Commons.

  15. Analysis

    Labour still has a big persuasion job ahead on welfare cutspublished at 11:15 British Summer Time 1 July

    Chris Mason
    Political editor

    "I've not had as much quality time with my colleagues since the Brexit wars," a minister told me with a wry smile.

    A remark that gets to the heart of this benefits row within the Labour Party: this is a government with a big majority, that has already performed a big U-turn and yet is still involved in a big persuasion job.

    Attempting to defuse a backbench rebellion is not something that's meant to happen, one year into government, with a working majority of 165.

    UK Prime Minister Sir Keir Starmer, speaks at the House of Commons in London, Britain on 11 June 2025.Image source, Reuters

    But ministers were forced to offer concessions last week after more than 120 Labour MPs threatened to derail their plans.

    Stricter eligibility criteria for getting personal independence payment (Pip), the main disability benefit in England, Wales and Northern Ireland, will now only apply to those claiming after November 2026, rather than existing claimants.

    Ministers have also promised a review into the assessment process in partnership with disability organisations, due to be completed by autumn 2026.

    The prime minister himself will be getting stuck into some persuading today, making the case that these changes are, as he sees it, not only in keeping with Labour values but essential to ensure the long-term stability of the welfare state.

  16. Disability minister doesn't expect welfare reforms to push people into povertypublished at 11:10 British Summer Time 1 July

    Stephen Timms

    Throughout our coverage today you'll probably see us mentioning an upcoming review by Disability Minister Sir Stephen Timms.

    What is the Timms review?

    It was announced by Work and Pensions Secretary Liz Kendall as part of a package of government concessions, and will involve a review into personal independence payments (Pip) led by the Labour government's Minister for Social Security and Disability.

    What has Timms said about welfare reforms?

    The disability minister last night defended the government's plans in an appearance on BBC Newsnight, where he told Victoria Derbyshire that government support will help people who lose their benefits to find employment.

    "Over time we will get more and more people into work," he suggested, as he listed plans to target employment support for the "200,000 people" currently out of work on health and disability grounds.

    But, with reforms also planned to tighten the eligibility criteria for Pip payments, he denied accusations that an extra 150,000 people could be pushed into poverty as a result of the reforms.

    "I don't expect people to be pushed into poverty as a result of this," Timms said. "I expect new opportunities to open up for people; people who've been denied opportunities for far too long."

  17. I am pleading with government to withdraw the welfare bill - rebel Labour MPpublished at 11:05 British Summer Time 1 July

    Media caption,

    Watch: Labour MP Rachael Maskell tells BBC Breakfast proposed welfare changes are ''not the right thing to do"

    As we mentioned in an earlier post, 39 Labour MPs have so far signed a new amendment designed to block the government's welfare policies. It was tabled last night by the Labour MP Rachael Maskell.

    She told BBC Breakfast this morning that she knows of "loads more" MPs who plan to vote down the government's bill later today, without having signed the amendment.

    "I engaged with so many people yesterday who were saying, 'I'm not signing your reasoned amendment, but I am voting down the bill'," the MP suggests.

    As a result, Maskell urges government to "pull the bill", saying it should instead "consult, and let's start again".

  18. Your welfare questions answered by BBC expertspublished at 11:02 British Summer Time 1 July

    YVYN Banner

    Got questions about anything welfare related? Our experts are ready to help.

    From 11:30 BST, we'll be joined by chief political correspondent Henry Zeffman, disability correspondent Nikki Fox, and economics editor Faisal Islam.

    We'll bring you their insights from then. There will be a watch live button at the top of the page where you can follow what they have to say.

    If you have a question you'd like us to answer, you can get in touch in the following ways

    Please read ourterms & conditionsandprivacy policy.

     In some cases a selection of your comments and questions will be published, displaying your name and location as you provide it unless you state otherwise. Your contact details will never be published.  

  19. A quick look at how we got herepublished at 10:54 British Summer Time 1 July

    Liz Kendall speaking in the House of CommonsImage source, PA Media

    Back in March, the government announced a major overhaul of the benefits system, aimed at cutting welfare spending.

    As a vote on the bill drew nearer, so grew a Labour mutiny - forcing ministers to announce several concessions last week.

    The initial proposals included changes to the personal independence payment (Pip) and universal credit (UC) - more on those in our explainer.

    Under the partially-revised plans, a tightening of Pip daily impact assessments will impact future claimants only, and not those already in receipt of the payment.

    Ministers have also reversed plans to freeze the health-related component of UC.

    Lindsay Hoyle pictured on the Speaker's Chair in the House of Commons last monthImage source, Reuters
    Image caption,

    Sir Lindsay Hoyle pictured on the Speaker's Chair in the House of Commons last month

    It's up to the Speaker of the House of Commons, Sir Lindsay Hoyle, to select an amendment - if any - to debate, and convention dictates that an opposition amendment would be picked.

    If Labour rebels support the government’s concessions, the bill will likely pass second reading.

    If all voting parties and 83 Labour MPs don't support them the bill could fail, and the government would be defeated.

    It's still unclear which way it will swing and the scale of the rebellion is subject to significant change.

    MPs will debate the changes and concessions in the Commons later today. Voting is due to begin at 19:00 BST.

  20. Welfare reforms are 'much better than current system' - business secretarypublished at 10:44 British Summer Time 1 July

    Media caption,

    Watch: Welfare proposals "are much better than the existing system" - business secretary

    We've been hearing from Business Secretary Jonathan Reynolds, who has been defending the government's welfare reform plans on BBC Breakfast.

    Despite opposition, Reynolds argues that the reforms are "fundamentally much better than the existing system we have".

    Giving some examples why, Reynolds lists some of these benefits as protecting existing claimants, changing capability assessments, and improving access to work.

    The business secretary stresses that with initiatives like the Timms review, the government hopes to work with disabled people to make sure the system works as best as it can.