UK politics news today: PM won't set welfare cut target, bigger mortgages, miners' pensions
By the Population Decides team. Every story summarised from several outlets, with links to the originals.
Good morning. It is Wednesday 4 November 2026. The Prime Minister refuses to say how much he wants to cut from the benefits bill, the Bank of England looks at letting more people borrow five times their salary for a home, and former miners are promised their pension money within weeks. Here is what happened and what it means for you.
Prime Minister refuses to set a target for cutting the benefits bill
Prime Minister Andy Burnham has refused to say how much he wants to cut from welfare spending, warning that harsh cuts would push more people into crisis.
Welfare means the money the government pays out in benefits and the state pension. Spending on it is forecast to rise by £19 billion this year to £353 billion. The Office for Budget Responsibility, the official forecaster, expects it to reach £431 billion by 2031 to 2032, mostly because of benefits linked to ill health and benefits for pensioners.
Speaking at the Commonwealth summit in Antigua, the Prime Minister said he was trying a different approach and would "stick to my guns". He argued that crude cuts would end up putting more pressure on the NHS and the justice system. Two reviews are still due: one by work and pensions minister Sir Stephen Timms on personal independence payment, a disability benefit, and one by Alan Milburn on helping young people into work, training or education. Earlier, Chancellor John Healey appeared to suggest the benefits bill would come down before the next election, but the Treasury later gave no timeline.
Shadow Work and Pensions Secretary Helen Whately said the Prime Minister would rather defend a bloated benefits bill than tackle its cost, and said only the Conservatives had a plan to save £36 billion a year. Read our guide to welfare and try balancing the books yourself in the People's Budget.
Explain it like I'm 15
The government spends more on benefits every year. The Prime Minister says he will not set a target to cut it because sudden cuts could leave people in trouble, while the Conservatives say big savings are needed.
The People's Verdict: What should the government do about the rising cost of benefits?
Bank of England looks at letting more people borrow five times their salary for a home
The Bank of England is reported to be looking at plans that would let lenders offer many more mortgages worth up to five times a buyer's income.
Since 2014, most lenders have been allowed to give only 15% of their mortgages to people borrowing more than 4.5 times their income. This rule is meant to stop people taking on debts they cannot repay. It was already relaxed in October. Under the new idea, loans up to five times income would not count towards that 15% limit.
UK Finance, which represents banks, says raising the limit to five times income would free up around half of the first time buyer lending that is now held back. Chancellor John Healey has asked the Bank to help more people own a home without putting the financial system at risk. The Bank has passed the industry's views to its Financial Policy Committee, the group that sets these rules, for a future review. See how housing fits into the bigger picture in our Budget key points.
Explain it like I'm 15
Right now banks are limited in how many big mortgages they can give out. If the rules change, more first time buyers could borrow more, which helps some people buy but means bigger debts.
The People's Verdict: Should more people be allowed to borrow five times their income for a mortgage?
Chancellor promises former miners every penny of their pension fund surplus within weeks
Chancellor John Healey told MPs on Tuesday that former miners will get all of the spare money in their pension fund, and that he wants it sorted in weeks, not months.
The Mineworkers' Pension Scheme has a reserve fund, known as the Guarantor's Fund, thought to be worth about £1.2 billion. Since 1994, the government has taken a share of the scheme's extra money in return for guaranteeing it. A group of MPs from former mining areas says the government has taken more than £4.4 billion this way, even though the guarantee has never cost taxpayers anything. In last week's Budget the Chancellor promised the full fund would be handed over and that pensions would keep rising.
Labour MPs from mining areas had been angry about earlier plans to hold back the money and pressed for a clear date. Reform UK said it would pay within 100 days if it formed a government. Check how other Budget measures affect you with our Budget calculator.
Explain it like I'm 15
Retired miners have a pension pot with money left over, and the government used to keep part of the extra. Now the Chancellor says all of it will go to the miners soon.
Pension schemes will have to offer a ready made retirement income under new plans
Workplace pension schemes will have to offer savers a default option that pays a steady income for life when they retire, under plans set out by the government on Tuesday.
Around 17 million private sector workers now save into a pension, and nine in 10 eligible workers are saving, up from four in 10 in 2012. But when people reach retirement they face hard choices about what to do with their pot. In 2025 to 2026, around 46% of people taking money from a pension pot for the first time took it all out at once.
The plan, called Guided Retirement, would give people a sensible choice made for them unless they pick something else. It includes a new type of shared scheme, called a collective pension, where members pool their savings to pay everyone an income. Pensions Minister Torsten Bell said private sector workers deserve "a much better deal". The Financial Conduct Authority and The Pensions Regulator, which oversee pensions, back the plan. Views are being sought until 22 December 2026. See the wider choices about older people's money in the People's Budget.
Explain it like I'm 15
When you retire, deciding what to do with your pension savings is tricky. The government wants schemes to offer a simple option that pays you a regular amount for the rest of your life.
The People's Verdict: Should pension schemes put savers into a lifetime income by default when they retire?
Families of young adults who cannot manage their own money will find it easier to reach Child Trust Funds
Parents and carers of young adults who lack the mental capacity to manage their money will be able to go straight to Child Trust Fund providers to get the savings, the government said on Tuesday.
Child Trust Funds are savings accounts for children, brought in in 2005. The average fund is worth about £2,600. Once a child turns 18, the money is theirs, but if they cannot manage it themselves, families have had to go through a court called the Court of Protection. The government says between 63,000 and 126,000 young adults are affected.
The change will be made by amending the Financial Services and Markets Bill now going through Parliament, with the court still available as another route. Justice Minister Jake Richards called the old system "an injustice". The charity Contact, which supports families with disabled children, said the decision was a big breakthrough after six years of campaigning.
Explain it like I'm 15
Some young disabled people have savings they cannot get to because their families had to go to court first. Soon families will be able to ask the savings company directly.
At the Commonwealth summit in Antigua, the Prime Minister is giving £40 million over three years from existing budgets for Caribbean projects such as green energy, and has begun talks on a possible formal apology for Britain's role in the slave trade. He has ruled out reparations, meaning payments for past wrongs. The King is expected to speak of his sorrow but not make a formal apology himself.
The Home Secretary's new rules on settling in the UK are under attack from both sides. Shadow Home Secretary Chris Philp called the change for care workers a climbdown, while Labour MPs Diane Abbott and Rachael Maskell say parts of the plan are unfair to people already here. Read our guide to small boats and migration and see where your MP stands.
The Regulator of Social Housing has opened a rare formal inquiry into Ash-Shahada Housing Association, a small landlord with homes in London and supported housing in Birmingham, looking at how it has been run. Make the big calls yourself in the game.