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Taxes, pledges, statistics: Budget 2009 at a glance

Press Association
Wednesday 22 April 2009 13:40 BST
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Here are the main points of Chancellor Alistair Darling's Budget:

ECONOMY

* Mr Darling expects the economy to begin to grow again by the end of this year.

* Total policy support for the UK economy is expected to protect up to 500,000 jobs.

* Forecast for GDP growth in 2009 is minus 3.5 per cent.

* Growth of 1.25 per cent forecast for 2010.

* From 2011, growth of 3.5 per cent per annum forecast.

* Inflation expected to continue to come down sharply, to 1 per cent by the end of the year.

* Deficit expected to halve in four years.

* Budget measures represent fiscal easing of 0.5 per cent of GDP this year.

* Public sector borrowing to hit £175 billion this year - 12 per cent of GDP - but to fall to 9.1 per cent in two years.

JOBS

* Extra £1.7 billion for Job Centre Plus network.

* From January, everyone under 25 and out of work will receive a job or training.

* Pledge to create 250,000 extra jobs and £260 million extra for skills and training.

* For the next two years, £250 million and then £450 million to maintain 54,000 sixth form places.

HOMES

* More help for homeowners out of work to reduce repossessions.

* Stamp duty holiday on homes up to £175,000 extended to end of year.

BUSINESS

* Loss-making firms can reclaim tax on profits from past three years.

TAX

* From April 2011 pension tax relief restricted for those on incomes over £150,000.

* No income tax increase this year, but the planned new top income tax rate of 45 per cent on incomes above £150,000 will be increased to 50 per cent and take effect from next April - a year early.

* Alcohol duties will go up by 2 per cent from midnight tonight. There will be an increase in tobacco duty of 2 per cent from 6pm tonight. These measures will raise over £6 billion by 2012.

* ISA savings tax free limit raised to £10,000 (£5,100 in cash) for over-50s this year and for everyone else next year.

TRANSPORT

* Fuel duty will increase by 2p per litre in September and then by 1p a litre above indexation each April for the next four years.

* Car industry scrappage scheme of £2,000 for cars over 10 years old from next month to March 2010.

INVESTMENT

* £5 billion further efficiency savings in public services, rising to £9 billion by 2013/14.

* Capital investment to continue until the London Olympics, and to be 1.25 per cent of GDP after 2013.

ENVIRONMENT

* Extra £1 billion to help climate change measures.

* £50 million to modernise armed forces housing.

* North Sea oil exploration incentives.

* Main capital allowance for firms doubled to 40 per cent.

* Chancellor, presenting the world's first carbon budget, committed Britain to cut carbon emissions by 34 per cent by 2020.

£435 million of extra support to deliver energy efficiency measures for homes, firms and public buildings.

* £525 million new funds and support for offshore wind projects.

* £4 billion more for renewable energy projects.

* New power plants exempt from climate change levy from 2013.

TECHNOLOGY

* Extra funding to extend broadband network.

* £750 million strategic investment fund announced to help emerging technologies.

FAMILIES AND PENSIONS

* From April next year, child element of child tax credit up £20.

* Grandparents who are carers of children will see that work qualify towards state pension.

* Pensions will rise in real terms.

* Winter fuel allowance for pensioners to be maintained.

* Capital disregard on Pension Credit to be raised from £6,000 to £10,000 from November.

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