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SIR Keir Starmer will reportedly back down on his plans for benefits cuts as he faces a major revolt from MPs.
No 10 is understood to be exploring tabling its own amendment for the vote on Tuesday, according to the Telegraph.
Sir Keir has previously refused to blink in response to his first major challenge and scolded the MPs trying to thwart him in slashing welfare costs.
The current rebels, who include Labour committee chairs, claim the plans would push 250,000 more people into poverty.
However, the rebellion is enough to wipe out the PM’s majority and raises the prospect of his needing Tory support to win the vote next week.
Around 130 MPs have now publicly declared they will oppose the Second Reading of the Bill, easily enough to overturn even Labour’s massive majority.
With its working majority of 165 MPs in the Commons, only 83 Labour MPs would have to rebel against the PM to defeat the Government.
It means Sir Keir could be about to initiate a major u-turn to avoid his first House of Commons defeat.
One option the PM has is to include a promise to speed up payment of funds to help people back into work.
Another is offering assurances that reviews of policies in this area will be published soon, said the Telegraph.
It is unclear however whether those steps will be enough to convince huge swathes of Labour MPs to have a change of heart.
But the PM has already dismissed what has been described as the nuclear option of delaying or abandoning the package altogether.
Chancellor Rachel Reeves has been among the strongest backers of the reforms, as she desperately struggles to balance the books without resorting to more tax hikes.
Even with the changes the benefits bill was still due to keep spiralling, just at a slightly slower rate.
Yesterday, a defiant Starmer shrugged off Labour welfare rebels, insisting their complaints are just “noise”.
The PM sparked a row within red ranks as he dismissed the gripes of nearly 120 backbenchers and vowed to press ahead with slashing benefits.
At the Nato Summit in the Hague Sir Keir also claimed that he knows how to “read the room”, when it comes to the mood in his party, and will still be Labour leader by the time of the next general election.
He said: “I’m comfortable with reading the room and delivering the change the country needs.
“We’ve got a strong Labour government with a huge majority to deliver on our manifesto commitments.
“And that’s the work that we did over many years to win the election.
Are there plenty of people and noises off? Yes, of course, there always are, there always have been, there always will be.
“But the important thing is to focus on the change that we want to bring about.”