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Tory benefit rebels like Michael Gove 'bloody-minded hypocrites', say Truss allies

Allies of Liz Truss say that Tory rebels such as Michael Gove 'open themselves up to claims of hypocrisy' over their stance on benefits - Leon Neal/Getty Images
Allies of Liz Truss say that Tory rebels such as Michael Gove 'open themselves up to claims of hypocrisy' over their stance on benefits - Leon Neal/Getty Images

Liz Truss's allies have hit back at Tory rebels, accusing them of hypocrisy for previously voting through a freeze in benefit payments.

Downing Street is considering not increasing Universal Credit in line with inflation, but instead using a lower metric - such as the increase in average earnings - to encourage those on benefits into work.

Increasing welfare payments by the lower rate of average earnings, rather than inflation, could save the Exchequer £11 billion next year.

But the Prime Minister faces a revolt from her own MPs, with several backbenchers and even Cabinet ministers breaking ranks to warn against the change.

Michael Gove, Iain Duncan Smith and Damian Green have all spoken out on the issue, saying that benefits should rise in line with inflation.

On Thursday, supporters of Ms Truss accused rebel ringleaders of “bloody-mindedness”, saying they were motivated by “being difficult”.

One backbencher said he was “surprised” that Mr Gove, Mr Duncan Smith and Mr Green have been so outspoken on the issue, given their previous stances on benefits.

Mr Duncan Smith was work and pensions secretary when a four-year benefits freeze on working age was passed in 2015, while Mr Gove was a fellow Cabinet minister at the time.

At the time, the Resolution Foundation think-tank warned that this could reduce incomes for the poorest 50 per cent of households by an average of one per cent in real terms, given the expected rise in inflation.

When Mr Green became work and pensions secretary in 2016, he hailed the benefit cap - which saw almost 90,000 of Britain’s poorest families more than £2,000 a year worse off - as a “real success”.

One minister told The Telegraph: "They open themselves up to claims of hypocrisy. It is just bloody-mindedness and being difficult - there is a new leader and they are not co-operating. There are obviously a few usual suspects in there and a few slightly more surprising ones."

Another senior backbench MP said: "Gove will do anything he can to undermine Truss and try to get rid of her. He will take this line because he assumes she would like to do otherwise and it's another way to embarrass her."

However, he added that Mr Duncan Smith and Mr Green’s stance on benefits are "entirely consistent" with their previous views.

On Thursday, senior government sources confirmed that disability benefits would rise in line with inflation - but added that “no decision has been taken” so far on other forms of benefit.

As well as disability living allowance, the other other specific benefits categories that will rise in line with inflation include attendance allowance, carers allowance, additional pension and personal independence payments, The Telegraph understands.

Mr Green told The Telegraph that he was “not convinced” by the idea of raising some benefits in line with inflation but not others.

“As far as people receiving benefits are concerned, they have received a pledge that it will go up in line with inflation and the Government should meet that pledge,” he said.

“I think it will be frankly in the Government’s own interest to stop the argument before it gets started.”

Mr Green warned that there will be “considerable opposition” to this from Tory MPs and it will be “difficult” to get the measure through the House of Commons.

Another former minister said: “When Cabinet ministers start briefing against the benefits uplift, clearly something is going very wrong.

“Liz Truss wants to do some punchy stuff, we understand that, but for goodness sake get everyone on side and make sure they know what the message is first.

“When you’ve got into the mess Liz has got into, starting to be picky about what benefits count and what doesn't isn't going to save her.”