Sir Keir Starmer is preparing a climbdown as a major rebellion builds against his planned benefit cuts, Downing Street has suggested.
The prime minister will be locked in talks on Thursday with backbench Labour MPs to find concessions to help him stave off an embarrassing defeat.
After more than 120 of his own MPs signed an amendment threatening to kill his welfare reform bill, a Downing Street source said ministers are 鈥渢alking to colleagues about the bill and the changes it will bring鈥.
But, after days of appearing to rule out changes to the legislation, which aims to cut the welfare bill by 拢5bn, the source told reporters that 鈥渨e want to start delivering this together on Tuesday鈥.
And Douglas Alexander said on Thursday that, having read the rebel amendment, 鈥渢he first thing that strikes you is that everyone agrees welfare needs reform and that the system is broken鈥.
The trade minister told Sky News: 鈥淓veryone recognizes you’re trying to take people off benefits and into work, because that’s better for them and also better for our fiscal position.
鈥淲here there is some disagreement at the moment is on the issue of how you give implementation to those principles.鈥
Mr Alexander said a second reading vote like Tuesday鈥檚 was usually on the principles of legislation, but the rebellion has forced ministers to consider 鈥渉ow to give implementation to those principles鈥. 鈥淪o given the high level of agreement on the principles, the discussions over the coming days will really be about the implementation of those principles,鈥 he said.
It came after Labour MPs called for 鈥渞egime change鈥 in Downing Street, with some elected last summer lashing out at the 鈥渙ver-excitable boys鈥 in Sir Keir鈥檚 top team.
Many blame the PM鈥檚 chief of staff, Morgan McSweeney, for ignoring the concerns of backbenchers
鈥淲e are all very happy that we have a leader who鈥檚 so respected around the world鈥 we just think he needs fewer over-excitable boys in his team,鈥 one MP told The Times.
The total number of Labour MPs who have signed the amendment against Sir Keir鈥檚 welfare cuts hit 126 on Wednesday, despite rebels having been warned with potential de-selections and the government鈥檚 potential collapse if they support it.
Efforts to win over rebels had been led by health secretary Wes Streeting, chancellor of the Duchy of Lancaster Pat McFadden, business secretary Jonathan Reynolds, and work and pensions secretary Liz Kendall.
Asked what concessions could be offered to convince rebels to back the government, Angela Rayner sought to reassure backbenchers that they would not be expected to betray the party’s traditional values.
“I’m not going to get into that on your show tonight,” the deputy prime minister said in an interview on ITV’s Peston programme.
“Those discussions are ongoing around making sure that the welfare reforms that we’re bringing in support people into work who need that, and we’re putting a huge amount of investment into doing that, but also protecting the most vulnerable.”
She acknowledged that “a lot of people are very scared about these changes” but added: “I haven’t changed my Labour values and we’re not expecting our benches to do anything that isn’t in check with them.
“What we want to do is support people, and that is the crucial bit around these reforms of what Labour are trying to achieve, and we’re discussing that with our MPs.”
The plans restrict eligibility for personal independence payment (Pip), the main disability payment in England, and limit the sickness-related element of universal credit. The Government hopes the changes will get more people back into work and save up to 拢5 billion a year.
Existing claimants will be given a 13-week phase-out period of financial support, a move seen as a bid to head off opposition by aiming to soften the impact of the changes.
The fact so many Labour MPs are prepared to put their names to the “reasoned amendment” calling for a change of course shows how entrenched the opposition remains.
One backbencher preparing to vote against the Bill said: “A lot of people have been saying they’re upset about this for months. To leave it until a few days before the vote, it’s not a very good way of running the country.
“It’s not very grown up.”
They said that minor concessions would not be enough, warning: “I don’t think you can tinker with this. They need to go back to the drawing board.”
According to the government’s impact assessment, the welfare reforms as a whole could push an extra 250,000 people, including 50,000 children, into relative poverty.