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PBR 2007: At a glance guide

- UK can respond to [turbulent] environment
- Inflation on target next year and year after
- UK growth at 3 per cent this year
- Full impact of market turbulence unclear
- Growth next year expected at 2 per cent to 2.5 per cent - revised lower from Budget
- Will meet first and second "golden rules"
- Government departments will save a further £30 billion by 2010
- Borrowing will fall to £23bn by 2012
- £400m more for armed services this year
- £500m fund for armed services accomodation
- Foreign Office & intelligence agencies budgets to rise
- Annual anti-terror budget will hit £3.5bn by 2010
- £14bn investment in transport by 2010 - to include Crossrail
- Reviews to tax system - to make simpler for self employed
- Private equity tax loopholes to be closed - taper relief to end by April
- Tighter rules on tax domiciles to raise £650m
- Two great challenges: poverty and climate change 
- £800m a year for flood defences by 2010
- Development aid to hit £9bn by 2010
- Child benefit to be doubled to £20 a week next year
- Child tax credit to increase by £175 from April
- £4bn over 3 years for renovations to homes
- Inheritance tax threshold increased to £600,000 for couples

- Alistair Darling, the Chancellor of the Exchequer, rose to speak at 3.31pm

Join the debate

What did you think of this year’s Budget? A brilliant masterpiece from a worthy Prime Minster in waiting? Or a complete fiddle from a tax and waste Chancellor?

Key points

Basic rate of income tax cut to 20p from 22p from April 2008

Top-rate income tax threshold to raise to £43,000, from £38,000

10 per cent band of income tax to be replaced with new 20 per cent rate

Main corporation tax cut to 28p from 30p

Beer up 1p a pint, wine up 5p a bottle, duty on spirits frozen

Cigarettes up 11p for a packet of 20 - VAT on nicotine replacements down to 5 per cent

Fuel duty up 2p a litre - rise delayed 6 months, until October

Top-rate road tax up, eventually, to £400

Is Brown serious about saving?

Rumours emanating from the Treasury suggest that Gordon Brown will offer a sweetener to savers in tomorrow’s budget by increasing the limit that can be invested in tax-free Isas.

Budget latest: income tax to rise!

Imagine the shock if Gordon Brown stood at the dispatch box on Wednesday to deliver his eleventh and almost-certainly final Budget and announced a seven pence increase in the basic rate of income tax. There would be uproar and Mr Brown’s election chances would fade faster than Ryanair’s profits under a Tory Government. Yet this is, in effect, exactly what the Chancellor has done since Labour came to power in 1997.

Brown's loophole war

There is plenty of speculation abroad about what Gordon Brown will do when he unveils what is expected to be his last Budget on Wednesday. High on most people's lists is an attack on dodges and "loopholes" used by people to reduce their tax bills. Few taxes are more emotive at the moment than inheritance tax (IHT), but Paula Tallon, head of direct tax at Chiltern, the tax specialist, thinks that may not prevent the noose being tightened by the Chancellor.

Budget Central

Welcome to Budget Central, our essential budget weblog where we will keep you updated with the latest news and views ahead of the Budget on March 21.

HAVE YOUR SAY

With Gordon Brown the overwhelming favourite to replace Tony Blair as Prime Minister this summer, his final Budget speech will be watched even more closely than usual with pundits looking for clues as to the direction a Brown premiership.

Economists say there is little scope for any big tax giveaways despite pressure on the Chancellor to boost Labour’s ailing fortunes in the opinion polls. But there is mounting speculation that Mr Brown could introduce a package of “green” measures to help address climate change.

Here at Times Money we would love to know what you think the Chancellor should include in his budget.

Are you desperate for the abolition of inheritance tax? Or would you like to see the stamp duty rules changed? Would you be willing to pay more green taxes? Or do you think they are just another stealth method of raising revenue?