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| Version 3 | Version 4 |
|---|---|
| Darling 'U-turn' on 10p tax rate | Darling 'U-turn' on 10p tax rate |
| (9 minutes later) | |
| Pensioners and young people who have lost money as a result of the abolition of the 10p tax rate are to be given compensation, Alistair Darling says. | Pensioners and young people who have lost money as a result of the abolition of the 10p tax rate are to be given compensation, Alistair Darling says. |
| In what will be seen as a U-turn forced by Labour rebels, the chancellor said he would assess the loss to pensioners aged 60-64 and childless people. | |
| He will announce in the autumn what the Treasury will do to compensate them, with the money backdated to April. | |
| It comes as the ranks of Labour rebels concerned by the measure rose to 46. | It comes as the ranks of Labour rebels concerned by the measure rose to 46. |
| Gordon Brown is likely to be pressed on the issue in the House of Commons in Prime Minister's questions from noon. | Gordon Brown is likely to be pressed on the issue in the House of Commons in Prime Minister's questions from noon. |
| Winter fuel payments | |
| His official spokesman said: "There is no question of not going ahead with the abolition of the 10p tax rate. It was the right thing to do." | His official spokesman said: "There is no question of not going ahead with the abolition of the 10p tax rate. It was the right thing to do." |
| Mr Darling outlined his proposals in a letter to John McFall, the Labour chairman of the Commons Treasury Select Committee. | |
| He said he would be looking at changes to the winter fuel payment system, tax credits and the minimum wage in order to compensate those losing out from the ending of the 10p rate. | |
| The Treasury Committee has announced an inquiry into the effect of the Budget measures on low-income households. |