'(1) The amendments made by the provisions of this Act specified in subsection (2) shall cease to have effect at midnight on 5 January 2009 unless the conditions set out in subsection (3) have been satisfied.

(2) The provisions referred to in subsection (1) are—

(a) section 3(2) and (3), and

(b) section 3(7)(a) and Schedule 1 (in so far as they relate to the starting rate).

(3) The conditions referred to in subsection (1) are that—

(a) the Chancellor of the Exchequer shall have laid before the House of Commons a statement setting out the measures taken, or intended to be taken, to mitigate the effect of the amendments made by the provisions of this Act specified in subsection (4), when taken together, on those for whom such effect is a net increase in income tax payable, and

(b) the House of Commons shall by resolution have approved such statement.

(4) The provisions referred to in subsection (3) are—

(a) sections 1, 3(2) and 3(3),

(b) section 3(7)(a) and Schedule 1 (in so far as they relate to the starting rate), and

(c) any other provision of this Act the effect of which is to change the bands of income on which income tax is charged.'.— [Mr. Philip Hammond.]

Brought up, and read the First time.

Question put, That the clause be read a Second time:—

The House proceeded to a Division.

I ask the Serjeant at Arms to investigate the delay in the No Lobby.

The House having divided: Ayes 220, Noes 304.

Question accordingly negatived.