Chancellor's pledge on compensation package details
Thursday 24 April 2008
Chancellor Alistair Darling said today that he hoped to come forward with details of the compensation package, rushed forward yesterday to avert a backbench revolt over the scrapping of the 10p tax band, in the "reasonably near future".
Mr Darling told the Commons at question time that he wanted to make sure that officials had "bottomed out" how the payments could be made to affected 60 to 64-year-olds.
He confirmed that the "mechanism" to be used to make the payments was "almost certainly" winter fuel payments.
Mr Darling's comments came after Labour former welfare minister Frank Field, who led the tax revolt, warned the Government that there must be no backtracking over the the backdating of the promised compensation package.
Shadow chancellor George Osborne claimed earlier that the deal was already "unravelling" less than 24 hours after it was announced by Mr Darling, in an effort to stave off a potentially catastrophic Commons defeat.
In the Commons today, just 24 hours after the Prime Minister had been accused by Conservative leader David Cameron of making a "humiliating" u-turn, the issue was raised by Tory Anne McIntosh (Vale of York).
She said the high price of energy was hitting those on fixed incomes particularly hard.
"When are you going to be in a position to give the House details of the announcement yesterday of the extra help that's being given to the 60 to 65-year-olds?" she demanded.
Mr Darling replied: "I hope I can do that in the reasonably near future but I want to make sure that we've bottomed out exactly how these payments can be made and the mechanism we will use - which is almost certainly going to be through the winter fuel payments because it is there and you don't need to legislate for anything different."
Under the plan set out by Mr Darling yesterday, the Government will seek to help the two main groups to be hit by the scrapping of the 10p rate - pensioners under 65 and younger workers on modest incomes with no children.
The pensioners look set to be given extra cash through the winter fuel mechanism, while the Treasury is looking to help the younger workers through changes to the tax credits and the minimum wage.
- 1 'Alien thigh bone' on Mars: Excitement from alien hunters at 'evidence' of extraterrestrial life
- 2 West poised to join forces with President Assad in face of Islamic State
- 3 Mother fed her daughter tapeworms to make her skinny for pageant
- 4 Richard Dawkins on babies with Down Syndrome: 'Abort it and try again – it would be immoral to bring it into the world'
- 5 Pamela Anderson rejects ice bucket challenge because of ALS experiments on animals: 'Mice had holes drilled into their skulls'
'Alien thigh bone' on Mars: Excitement from alien hunters at 'evidence' of extraterrestrial life
West poised to join forces with President Assad in face of Islamic State
Pamela Anderson rejects ice bucket challenge because of ALS experiments on animals: 'Mice had holes drilled into their skulls'
James Foley 'beheaded': Isis video shows militant with British accent 'execute US journalist' – as hunt begins for killer
ALS ice bucket challenge co-founder Corey Griffin drowns, aged 27
Richard Dawkins on babies with Down Syndrome: 'Abort it and try again – it would be immoral to bring it into the world'
Scottish independence: English people overwhelmingly want Scotland to stay in the UK
Isis threat: Cameron wants an alliance with Iran
Michael Brown shooting: Chaos erupts on the streets of Ferguson after autopsy shows teenager was shot six times – twice in the head
Disgusting, frustrating, but intriguing: how the country really feels about its politicians
Bin bag full of cats' heads discovered near Manchester's Curry Mile
£30000 - £45000 per annum: Harrington Starr: A global investment management fi...
£65000 - £75000 per annum: Harrington Starr: Senior Network Engineer-(CCIE, CC...
£70000 - £80000 per annum: Harrington Starr: Senior Network Analyst - (CCIE, C...
£60000 - £80000 per annum: Harrington Starr: Senior Network Engineer-(Design, ...