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Brown fights backbench tax revolt Brown fights backbench tax revolt
(about 1 hour later)
Gordon Brown has moved to quell a backbench revolt over the abolition of the 10p income tax band amid fears it will hit some low-paid families.Gordon Brown has moved to quell a backbench revolt over the abolition of the 10p income tax band amid fears it will hit some low-paid families.
Mr Brown has assured former Labour whip Greg Pope - who tabled a Commons motion calling for action - he will look again at the impact of the changes.Mr Brown has assured former Labour whip Greg Pope - who tabled a Commons motion calling for action - he will look again at the impact of the changes.
Mr Pope's motion - signed by 43 Labour MPs - has now been withdrawn. Mr Pope has now withdrawn the motion, which was signed by a number of normally loyal Labour MPs.
It comes after a junior minister criticised alcohol tax rises, although he later backtracked. It comes after a junior minister criticised alcohol tax rises.
But senior ministers have denied the government is suffering discipline problems.
In his final Budget as Chancellor last year, Mr Brown paid for a 2p cut in the basic rate - to 20p - by abolishing the 10p lower rate.In his final Budget as Chancellor last year, Mr Brown paid for a 2p cut in the basic rate - to 20p - by abolishing the 10p lower rate.
'Detrimental impact''Detrimental impact'
The change, which will affect people's pay from Sunday, comes less than a month ahead of local elections in England and Wales.The change, which will affect people's pay from Sunday, comes less than a month ahead of local elections in England and Wales.
Most of the five million families households left worse off by the move were compensated by increases in tax credits, but some were not.Most of the five million families households left worse off by the move were compensated by increases in tax credits, but some were not.
We should have woken up to it sooner Nia Griffith, Labour MPWe should have woken up to it sooner Nia Griffith, Labour MP
After withdrawing the motion, Mr Pope told The Guardian: "I have been given assurances by senior ministers that they will look at its impact, especially on pensioners, some of whom are losing more than £200 at a time of rising fuel costs".After withdrawing the motion, Mr Pope told The Guardian: "I have been given assurances by senior ministers that they will look at its impact, especially on pensioners, some of whom are losing more than £200 at a time of rising fuel costs".
Mr Brown was confronted by over the issue when he addressed the weekly meeting of the Parliamentary Labour Party on Monday.Mr Brown was confronted by over the issue when he addressed the weekly meeting of the Parliamentary Labour Party on Monday.
Former ministerial aide Nia Griffith, who was among those to tackle him, said it did "not look good" to voters.Former ministerial aide Nia Griffith, who was among those to tackle him, said it did "not look good" to voters.
"We should have woken up to it sooner and it would have been easier to do something about it earlier on. It's something we should look at," she said."We should have woken up to it sooner and it would have been easier to do something about it earlier on. It's something we should look at," she said.
But the prime minister's spokesman said: "Since 1997, as a result of all the tax and benefit changes that have come into effect, people on low incomes are significantly better off."But the prime minister's spokesman said: "Since 1997, as a result of all the tax and benefit changes that have come into effect, people on low incomes are significantly better off."
'Very concerned''Very concerned'
Labour Leeds North East MP Fabian Hamilton said he feared the change would hit young, single people without families.Labour Leeds North East MP Fabian Hamilton said he feared the change would hit young, single people without families.
He said "a number" of backbench MPs who back the government's general direction were "very concerned".He said "a number" of backbench MPs who back the government's general direction were "very concerned".
Licensing Minister Gerry Sutcliffe sparked a row on Thursday after he told pub trade newspaper The Morning Advertiser he thought alcohol tax rises announced in this year's Budget were wrong.Licensing Minister Gerry Sutcliffe sparked a row on Thursday after he told pub trade newspaper The Morning Advertiser he thought alcohol tax rises announced in this year's Budget were wrong.
He said: "I think the industry's right to be upset. We, and I speak as a champion of the pub trade, want the chancellor to change his mind."He said: "I think the industry's right to be upset. We, and I speak as a champion of the pub trade, want the chancellor to change his mind."
He later backtracked - after the Tories accused the government of being in "disarray" - saying "my comments do not accurately reflect my views".He later backtracked - after the Tories accused the government of being in "disarray" - saying "my comments do not accurately reflect my views".
Home Secretary Jacqui Smith denied the government was having difficulty maintaining discipline in its ranks.Home Secretary Jacqui Smith denied the government was having difficulty maintaining discipline in its ranks.