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Darling briefs ministers on tax Darling briefs ministers on tax
(10 minutes later)
Chancellor Alistair Darling is briefing the Cabinet on his plans to compensate some of the people who lost out when the 10p tax band was scrapped.Chancellor Alistair Darling is briefing the Cabinet on his plans to compensate some of the people who lost out when the 10p tax band was scrapped.
The issue has sparked anger among Labour MPs, and ministers will want to publish many of the details before the Crewe & Nantwich by-election next week.The issue has sparked anger among Labour MPs, and ministers will want to publish many of the details before the Crewe & Nantwich by-election next week.
Ex-minister Frank Field said abolition of the 10p rate could be the trigger that brings Gordon Brown down.Ex-minister Frank Field said abolition of the 10p rate could be the trigger that brings Gordon Brown down.
Cabinet ministers have rounded on Mr Field for his criticism of Mr Brown.Cabinet ministers have rounded on Mr Field for his criticism of Mr Brown.
Mr Darling has insisted he will "do more" in next year's Budget to help those who have lost out from the scrapping of the 10p rate.Mr Darling has insisted he will "do more" in next year's Budget to help those who have lost out from the scrapping of the 10p rate.
Draft legislative programmeDraft legislative programme
But he is under pressure to act now, with Mr Field and a number of Labour MPs threatening to vote down this year's Budget, poor local election results, the publication of explosive memoirs by Cherie Blair, John Prescott and Lord Levy and next week's crunch by-election.But he is under pressure to act now, with Mr Field and a number of Labour MPs threatening to vote down this year's Budget, poor local election results, the publication of explosive memoirs by Cherie Blair, John Prescott and Lord Levy and next week's crunch by-election.
It's right that we continue to do everything we can to help people, especially people at the lower end of the income scales Alistair DarlingChancellor of the ExchequerIt's right that we continue to do everything we can to help people, especially people at the lower end of the income scales Alistair DarlingChancellor of the Exchequer
On Wednesday, the government will outline its draft legislative programme - the bills it intends to introduce in the next parliamentary session - and the 10p issue is also expected to be featured.On Wednesday, the government will outline its draft legislative programme - the bills it intends to introduce in the next parliamentary session - and the 10p issue is also expected to be featured.
Mr Darling told BBC One's Andrew Marr programme on Sunday that he recognised when the 10p rate came into effect "we would need to do more to help people, particularly on low incomes".Mr Darling told BBC One's Andrew Marr programme on Sunday that he recognised when the 10p rate came into effect "we would need to do more to help people, particularly on low incomes".
"This is an area I will be returning to in future budgets because I think it's right that we continue to do everything we can to help people, especially people at the lower end of the income scales," he added."This is an area I will be returning to in future budgets because I think it's right that we continue to do everything we can to help people, especially people at the lower end of the income scales," he added.
He also met Mr Field and former whip Greg Pope, who has also called for compensation for those affected, last week to give a "categoric assurance" he will help people hit by the abolition of the 10p tax rate. He also met Mr Field and former whip Greg Pope last week to give a "categoric assurance" he will help people hit by the abolition of the 10p tax rate.
The abolition of the lowest rate of income tax came into effect last month, alongside a reduction in the basic rate of income tax from 22p to 20p and increases in child benefit and tax credits.The abolition of the lowest rate of income tax came into effect last month, alongside a reduction in the basic rate of income tax from 22p to 20p and increases in child benefit and tax credits.
'Unhappy''Unhappy'
The government has said it will outline a compensation package for pensioners aged 60 to 64 and low earners before this autumn's pre-Budget report.The government has said it will outline a compensation package for pensioners aged 60 to 64 and low earners before this autumn's pre-Budget report.
Tuesday's Cabinet meeting follows a number of turbulent weeks for Mr Brown and his ministers.Tuesday's Cabinet meeting follows a number of turbulent weeks for Mr Brown and his ministers.
On Monday, the government had a comfortable majority during a vote on human embryo research. But Labour MPs will have a free vote on some of the more contentious issues next week.On Monday, the government had a comfortable majority during a vote on human embryo research. But Labour MPs will have a free vote on some of the more contentious issues next week.
That followed Mr Field's suggestion that Mr Brown was "unhappy" as prime minister and would step down by 2010.That followed Mr Field's suggestion that Mr Brown was "unhappy" as prime minister and would step down by 2010.
He also claimed the prime minister was prone to "tempers of an indescribable nature" and should talk to his loved ones and "see what they say and act on their advice".He also claimed the prime minister was prone to "tempers of an indescribable nature" and should talk to his loved ones and "see what they say and act on their advice".
'Soap opera'?'Soap opera'?
Those comments prompted Schools Secretary Ed Balls, a close ally of Mr Brown, to cast doubt over whether Mr Field's "intentions were honourable" over the 10p tax rebellion.Those comments prompted Schools Secretary Ed Balls, a close ally of Mr Brown, to cast doubt over whether Mr Field's "intentions were honourable" over the 10p tax rebellion.
Community Secretary Hazel Blears said it was "sad" Mr Field had "descended" into a personal battle.Community Secretary Hazel Blears said it was "sad" Mr Field had "descended" into a personal battle.
At Tuesday's weekly meeting of the Parliamentary Labour Party, MPs and peers were said to be frustrated at the "self indulgent" in-fighting and called for more self-discipline.At Tuesday's weekly meeting of the Parliamentary Labour Party, MPs and peers were said to be frustrated at the "self indulgent" in-fighting and called for more self-discipline.
Tory leader David Cameron said the Labour Party was "beginning to resemble a sort of bizarre soap opera".Tory leader David Cameron said the Labour Party was "beginning to resemble a sort of bizarre soap opera".
Next week the 10p issue will come to prominence again as the Tories make it a central issue in their fight to win the Labour seat of Crewe & Nantwich.Next week the 10p issue will come to prominence again as the Tories make it a central issue in their fight to win the Labour seat of Crewe & Nantwich.
The constituency was held by the late Labour stalwart Gwyneth Dunwoody with a majority of over 7,000.The constituency was held by the late Labour stalwart Gwyneth Dunwoody with a majority of over 7,000.
Ministers and Labour MPs have been ordered to travel to Crewe to help secure the election of Mrs Dunwoody's daughter Tamsin.Ministers and Labour MPs have been ordered to travel to Crewe to help secure the election of Mrs Dunwoody's daughter Tamsin.
But Labour fears that despite local fondness for Mrs Dunwoody personally, the tax rate issue could see the seat going to the Conservatives.But Labour fears that despite local fondness for Mrs Dunwoody personally, the tax rate issue could see the seat going to the Conservatives.