SIR Keir Starmer was last night on the verge of a bruising benefit cuts climbdown — triggering fears of tax hikes to fill the black hole.
The PM was yesterday locked in talks with rebel MPs about to his £5billion package of savings.
More than 120 backbenchers threw his government into chaos by in Tuesday’s crunch vote.
The move also sparked wider concerns about the No 10 operation.
Disgruntled MPs were zeroing in on Sir Keir’s closest aide and election guru Morgan McSweeney, though the PM is said to retain full confidence in him.
Economists warned that softening the already modest cuts would wipe out Chancellor £9.9billion financial headroom.
No 10 would last night not rule out more tax rises, with Ms Reeves committing only to avoid hikes in , National Insurance or VAT.
Tory Shadow Chancellor said: “Labour’s welfare chaos will cost hardworking taxpayers.
“If fails to get welfare spending under control, families up and down the country will be slapped with even higher taxes to pay for it. We can’t afford Labour.”;
After previously as “noises off”;, the PM struck a more conciliatory tone yesterday as the revolt grew.
He told the Commons: “We want to see reform implemented with Labour values of fairness.
“That conversation will continue in the coming days.”;
