Budget 2007 announced a package of reforms from which over 16 million households gained and over five million households lost out. It is not possible to provide comparable figures of those who have been affected by the withdrawal of the 10 pence starting rate for parliamentary constituency or local authority areas.
The Chancellor announced income tax measures on 13 May to provide financial support in 2008-09 for all basic rate taxpaying families, fully compensating 80 per cent. of households adversely affected by the withdrawal of the 10 pence starting rate and with the remainder seeing their loss at least halved.
The Chancellor will set out proposals to help those who lost out as a result of the withdrawal of the 10 pence starting rate of tax for the longer term in the Pre-Budget Report.