It isn't a climb down. Read the thread, all the explanations are right here. Dodds, like many other Labour people, are identifying as this being only a bit of a stray smell of smoke while the house is on fire around them.
This is also the second time in a week we've seen a bit of a strategy from people that are in bed with Stonewall and the extremist T political lobby: to make a tiny bit of a slightly not on message release, followed by Stonewall and the lobby screaming and jumping up and down and shrieking about how it's a total roll back of their rights and they're being genocided.
There's two ways you can look at this.
One is that this lobby are so lost in their own fiction at this point that they are genuine in these claims - and so lost to reality that politicians should be stepping as far away from them as possible and being very clear indeed that Trans people and the T political lunatic fringe/people with appalling criminal records screaming about hitting women through megaphones/rainbow butt monkeys etc etc are not the same thing at all, and the politicians are in no way confusing the two or propping up this lobby. And you have to ask yourselves why they're not only not doing this, but beaming under signs about decapitating women.
The other is that quiet cosy chats over cups of tea in back offices are continuing as Whittle so smugly explained years ago as how this was engineered outside of democracy and scrutiny, and the lobby have been told: we'll throw a few crumbs (which mean nothing, old stuff, 'single sex spaces' etc with no definitions that sound like we might be wavering a bit but nothing anyone can ever pin us down on), you scream your heads off all over the press using your powerful media network, and the general public will go 'oh both sides are pissed off, this must mean it's middle ground and ok'.
I know this lobby's actions over the years. I know the politicians in bed with them from long and bitter experience. I was at the funeral of integrity, any sense of morality, conscience, responsibility of impartiality, public duty, truth, reality and Cumming's eyesight. I know which one I think is more likely.