Labour plans cuts to disability benefits to tackle debt crisis in the UK

The Labour Party plans to cut billions from disability benefits, particularly personal independence payments, to address a debt crisis. This follows a significant drop in the pound and rising government borrowing rates. Chancellor Rachel Reeves aims to reduce spending in unprotected departments instead of raising taxes. The annual cost of disability support is projected to rise sharply by 2029. The Treasury has reassured markets of its commitment to fiscal rules amid recent financial turmoil. Yields on UK bonds have reached their highest levels in years, raising concerns among investors.