Top rate of income tax cut in UK

http://www.bbc.co.uk/news/uk-politics-17450719

George Osborne is cutting the tax rate for earnings over £150,000, saying in his Budget it raised "next to nothing".

He is also going to raise the threshold at which people start paying tax to £9,205, leaving millions of working people over £200 better off.

But 4.4m pensioners will be worse off next year as a result of age-related tax allowances being frozen and axed.

Mr Osborne said the Budget "rewards work" but Labour Leader Ed Miliband labelled it a "millionaire's Budget".

BBC political editor Nick Robinson said the chancellor had taken a huge gamble with changes that might not shape the economy, but would shape politics in the months ahead.

Other key measures outlined by Mr Osborne were:

Corporation tax to fall from 26% to 24% in April 2012, down to 22% in 2014

New 7% stamp duty rate for properties worth more than £2m and a 15% rate for £2m homes bought through companies

Child benefit cuts to be phased in for families with at least one parent earning £50,000, and axed for those on £60,000

UK growth forecast raised slightly to 0.8% and borrowing to be £1bn less than previously forecast

Tobacco duties to rise by 5% above inflation from 1800 GMT - equivalent to 37p on the price of a packet of cigarettes.

Fuel duty rise of 3p a litre to go ahead as planned

State pension age to be automatically reviewed, to ensure it keeps pace with life expectancy.

VAT loopholes - from hot food bought in supermarkets to static caravans and sports nutrition drinks - to be closed.