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Lib Dems fight Labour's Benefits privatisation1.23.50pm UTC (GMT +0000) Tue 20th Mar 2007
The Government was forced last night in the House of Lords to back down on plans that could have given private contractors the power to cut benefits. A joint Liberal Democrat and Conservative amendment to the Welfare Reform Bill will ensure that any privatisation of the benefits system specifically excludes the powers to sanction an individual's benefits. The Liberal Democrats raised serious concerns that, without these changes, the Bill leaves open the possibility of wholesale privatisation of the benefits system. Commenting on the victory, Liberal Democrat Work and Pensions Spokesperson Lord (Matthew) Oakeshott said "Vulnerable people must be protected from private contractors cutting their benefits. Privatising these powers would be an unacceptable abdication of responsibility by the Government."
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