Opposition backing rebel on 10p tax rate compensation
OPPOSITION parties last night pledged support for a Labour rebel attempt to secure compensation for everyone left worse off by the government's controversial scrapping of the 10p tax rate.
Former Labour minister Frank Field is spearheading an amendment to the Finance Bill which could block the entire Budget unless ministers agreed payments to the worst-off.
And he has warned he has the backing of more than 30 fellow backbenchers as well as the support of both the Tories and Liberal Democrats – raising the prospect of a humiliating government defeat.
The amendment would force the Treasury to come up with detailed compensation proposals.
Gordon Brown did away with the 10p starting rate in his last Budget as chancellor.
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Monday 28 May 2012
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