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| Ministers return to tax rebellion | Ministers return to tax rebellion |
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| Ministers are facing a Labour backbench rebellion over the abolition of the 10p income tax rate as they return to Westminster after a two-week break. | Ministers are facing a Labour backbench rebellion over the abolition of the 10p income tax rate as they return to Westminster after a two-week break. |
| More than 70 backbenchers and six ministerial aides have voiced concern at the changes. | |
| Ex-minister and leading Labour rebel Frank Field is urging the government to compensate all those affected. | Ex-minister and leading Labour rebel Frank Field is urging the government to compensate all those affected. |
| The Treasury has hinted there could be measures to help low earners who are worse off, but not for several months. | The Treasury has hinted there could be measures to help low earners who are worse off, but not for several months. |
| BBC political correspondent James Hardy said Chancellor Alistair Darling was working on proposals that would offset some of the impact of the tax changes, but they would not come into effect until the autumn pre-Budget report at the earliest. | BBC political correspondent James Hardy said Chancellor Alistair Darling was working on proposals that would offset some of the impact of the tax changes, but they would not come into effect until the autumn pre-Budget report at the earliest. |
| Mr Field, a former Labour minister, has said Treasury promises of "something undefined" in the future do not go far enough and has warned the government it will "get a real feel of just how serious our intent is" as ministers return on Monday. | Mr Field, a former Labour minister, has said Treasury promises of "something undefined" in the future do not go far enough and has warned the government it will "get a real feel of just how serious our intent is" as ministers return on Monday. |
| EFFECTS OF TAX CHANGES Winners: Most people/ with incomes of £18,000+Under £18,000 but aged 65+ and therefore eligible for higher personal allowancesUnder £18,000 but with young children and therefore eligible for child tax credits Losers: Under £18,000 and ineligible for working tax credits because under 25Retired early and therefore ineligible for higher personal allowancesPart-timer working insufficient hours to qualify for tax credits Different personal circumstances may affect final amountsSource: PWC Tax changes explained | EFFECTS OF TAX CHANGES Winners: Most people/ with incomes of £18,000+Under £18,000 but aged 65+ and therefore eligible for higher personal allowancesUnder £18,000 but with young children and therefore eligible for child tax credits Losers: Under £18,000 and ineligible for working tax credits because under 25Retired early and therefore ineligible for higher personal allowancesPart-timer working insufficient hours to qualify for tax credits Different personal circumstances may affect final amountsSource: PWC Tax changes explained |
| MPs will get a chance to vote on the 10p tax issue next week as the Finance Bill, enacting changes from the Budget, goes before Parliament. | MPs will get a chance to vote on the 10p tax issue next week as the Finance Bill, enacting changes from the Budget, goes before Parliament. |
| Mr Field plans to table an amendment to the Bill calling for compensation for those affected. | Mr Field plans to table an amendment to the Bill calling for compensation for those affected. |
| The tax change means people who would have paid income tax at the lowest, introductory 10% rate will now have to pay the 20% rate. | The tax change means people who would have paid income tax at the lowest, introductory 10% rate will now have to pay the 20% rate. |
| It is part of a range of measures which came into force this month. Child benefits, state pensions and tax credits have all gone up. | It is part of a range of measures which came into force this month. Child benefits, state pensions and tax credits have all gone up. |
| The Commons Treasury committee has said childless, single people earning under £18,500 will lose up to £232 a year. | The Commons Treasury committee has said childless, single people earning under £18,500 will lose up to £232 a year. |
| On Sunday, the chancellor ruled out a U-turn on axing the 10p tax rate, saying it would be "totally irresponsible" to "unravel...or rewrite" the Budget. | On Sunday, the chancellor ruled out a U-turn on axing the 10p tax rate, saying it would be "totally irresponsible" to "unravel...or rewrite" the Budget. |
| But Mr Darling told the BBC he "would return" in future Budgets to help those hit by the move. | But Mr Darling told the BBC he "would return" in future Budgets to help those hit by the move. |
| Critics should look at it alongside tax credit and pension changes which had helped the low-paid, he said. | Critics should look at it alongside tax credit and pension changes which had helped the low-paid, he said. |
| But Conservative leader David Cameron said Mr Darling should "get off his backside" and get into the Treasury to rewrite his Budget. | But Conservative leader David Cameron said Mr Darling should "get off his backside" and get into the Treasury to rewrite his Budget. |