- Senior Labour figures saw Starmer lose authority after backing down on welfare reforms
- Over 120 Labour MPs threatened rebellion against sickness and disability benefit cuts
- Starmer met rebel MPs but reversed key welfare cuts, costing government £3 billion
Private messages revealed in the Mandelson files show that senior Labour figures believed UK Prime Minister Keir Starmer lost his authority when he backed down on welfare reforms under pressure from his own MPs.
The leaked WhatsApp exchanges show Pat McFadden, who now serves as Work and Pensions Secretary, warning US ambassador Peter Mandelson that the government was facing a serious challenge as more than 120 Labour MPs threatened to rebel against planned cuts to sickness and disability benefits.
Describing the situation as "very bad", McFadden said Starmer was meeting the MPs leading the revolt in an attempt to win their support. He warned that if the government lost the vote, withdrew the bill, or significantly watered down the reforms, it would "destroy" Starmer's authority as prime minister.
"Starmer was meeting the ringleaders today. I think it's very bad. Defeat, pull the bill or gut it all destroy his authority," McFadden wrote. Mandelson replied, "Yes, I am afraid so," iPaper reported.
The following day, Starmer's government backed down on key parts of the welfare reforms, reversing planned cuts to Personal Independence Payment (PIP) and the sickness-related element of Universal Credit (UC).
These changes cost the government £3 billion (around Rs 38,400 crore) and disrupt Chancellor Rachel Reeves' budget plans.
Pat McFadden criticised Labour MPs who opposed benefit cuts. He suggested they only wanted to find new ways to raise taxes so the government could continue paying benefits.
Mandelson also claimed that Starmer's chief of staff, Morgan McSweeney, had little confidence in the Prime Minister's ability to reform how No 10 operated and believed he should focus on keeping Labour MPs onside. In another exchange, Mandelson described Starmer's leadership style as "advance/buckle/advance/buckle".
Pension Minister Torsten Bell said the government's overall performance looked "messy" as the government didn't seem to have a clear direction.
Mandelson said that the government looked messy because it was not good at developing policy in the first place. "It's messy because the government doesn't do policy, generally speaking, well enough. It all starts with policy."
Bell replied, "Well that is definitely true – everyone seems to think it's someone else's job to get the policy right… which is very odd." Mandelson texted, "As the saying goes, rubbish in rubbish out…"
Later, the Conservatives used the leaked messages to accuse Labour of raising taxes to pay for higher welfare spending after abandoning planned benefit cuts.
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