The Conservative Party has announced a ban on foreign nationals claiming benefits, a move intended to counter the rising popularity of the rival Reform UK party, reports BritPanorama.
Shadow Chancellor Sir Mel Stride is set to reveal plans today that project nearly £50 billion in cuts to government spending, including significant reductions to welfare, foreign aid, and civil service expenditures. These proposals aim to establish more stable public finances while also paving the way for potential tax reductions.
Labour Chancellor Rachel Reeves is facing the challenge of addressing a £30 billion budget deficit amid worsening national debt. Concurrently, Reform UK leader Nigel Farage has committed to denying benefits and permanent residency to all foreign nationals, elevating pressure on the government.
A new survey suggests Reform UK could secure as many as 373 parliamentary seats should an election occur imminently, granting them a majority larger than that achieved by Boris Johnson in 2019. This surge in support comes as Labour and the Conservatives race to regain lost ground in the political arena.
Conservative Spending Cuts Strategy
During his address at the Conservative Party conference in Manchester, Sir Mel will stress that the nation cannot continue to overspend. Key proposals include cutting sickness benefits for individuals with low-level mental health conditions, thereby removing their access to social housing.
Further changes aim to increase job-seeking requirements for benefit claimants, which are projected to save £23 billion annually. Tory welfare spokesperson Helen Whately has also indicated revisions to the rules concerning the Mobility scheme, which offers subsidized vehicles to those receiving sickness benefits.
Whately stated, “We know what it will take to get people off benefits and working again,” underscoring the commitment to ensure assistance is directed only to those in genuine need. This includes halting benefits for minor mental health issues and returning to face-to-face assessments.
The Conservative plans suggest slashing the civil service by 25%, a move projected to yield savings of £8 billion per year. Additionally, the foreign aid budget would be reduced to 0.1% of GDP, yielding another £7 billion in savings.
Overall, Sir Mel will outline a total of £47 billion in proposed savings, potentially freeing up enough funds to lower the basic income tax rate by approximately 6 pence. He emphasized that the Conservative Party is committed to transparent fiscal governance, stating, “We cannot deliver stability unless we live within our means.”
These measures also include plans to cut £1.6 billion from ineffective Net Zero initiatives and an additional £3.5 billion from hotel spending by removing illegal migrants from the UK.
In reaction, Labour chair Anna Turley criticized the Conservative proposals as a rehash of past failures, while Reeves indicated that curbing asylum spending remains a priority amid financial pressures on the Treasury, as the asylum system’s cost reached £5.4 billion in 2023.
Taxpayer Concerns Amid Migration Issues
Farage has criticized the current tax burden on British citizens to support migrants, stating that the UK should not serve as the “world’s food bank.” His recent proposal includes abolishing Indefinite Leave to Remain within a 100-day timeframe if he assumes power, aiming to enforce stricter immigration controls.
Under his plan, all current residents would be placed on five-year renewable visas with stringent requirements, including language proficiency and background checks. He warned that as many as 800,000 migrants may be eligible for settlement, leading to long-term costs for taxpayers amounting to £230 billion.
Farage asserted that welfare under a Reform government would be exclusively for UK citizens, stating, “This is grossly unfair on taxpayers” and expressing his commitment to reversing the prevailing welfare policies.
