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Darling puts up car tax
BBC News
Darling puts up car and drink tax
Big increases in duty on alcohol and high-polluting cars have been announced by Chancellor Alistair Darling.
In his first Budget he put 4p on a pint of beer, 14p on a bottle of wine and 55p on a bottle of spirits. Duty on a packet of cigarettes is up 11p.
He announced higher road tax for the most polluting cars but delayed for six months a 2p rise in fuel duty.
Mr Darling, who insisted the UK could "weather economic storms", also increased winter fuel payments.
KEY MEASURES
Delay 2p rise in fuel duty for six months
6% increase in alcohol tax - with 2% annual rise for next four years
4p on pint of beer, 3p on cider, 14p on wine, 55p on spirits
11p on packet on 20 cigarettes, 4p on five cigars
Higher first year rate of road tax for most polluting cars
Increase in green tax on flights
Winter fuel payment up to £250m for over-60s and to £400 for over-80s
Require supermarkets to charge for plastic bags if they do not scrap them
More cash to tackle child poverty
Help with rising energy costs for poorer families
The over-60s will get £250 instead of £200 and the over-80s will get £400 instead of £300.
In his first Budget he also said Child Benefit would rise from April 2009 to £20 week - a year earlier than planned.
In the speech, he said the child element of the child tax credit for families on low and middle income would increase by £50 a year above inflation.
A working family with one child on the lowest income will gain up to £17 a week, lifting 150,000 children out of poverty, said Mr Darling.
He also ordered energy companies to increase the help they give to people using pre-paid meters from £50m to £150m a year.
On the environment, he announced legislation to come into force in 2009 to impose a charge on single-use carrier bags if progress is not made on a voluntary basis.
The Climate Change Committee is to advise the government on whether to establish a new target of reducing carbon emissions by 80% by 2050, up from 60%.
Mr Darling said he was setting aside new funding to develop road pricing schemes.
This Budget is dressing up a fiscal disaster to look like competence Ken Hall, Barrow in Furness
From April, it would be easier for key workers to get shared equity mortgages, needing only half of the asking price rather than three quarters, he said.
From today, stamp duty on shared-ownership homes will not be required until buyers own 80% of the equity in their home.
On the wider economy, Mr Darling cut by 0.25% his October forecast that the UK economy would grow by up to 2.5% this year.
And he said inflation would rise before returning to its 2% target in 2009 and remain on target thereafter.
He said borrowing next year would rise to £43bn - £7bn more than forecast last year - with a similar increase the following year.
Mr Darling took over as chancellor when Gordon Brown became prime minister last June.