Pre-budget statement to outline taxation breaks

Date: 24th November 2008

Taxation breaks are could feature heavily in today's (November 24th) pre-budget statement, according to reports.

The announcement will be made by chancellor Darling at 15:30 GMT this afternoon and it has been speculated over recent days that a cut in the rate of VAT to 15 per cent is on the cards.

Other fiscal measures included as part of the statement are expected to channel more than £15 billion pounds into the UK's shrinking economy.

Prime minister Gordon Brown is set to tell business leaders in London today: "We have seen in previous recessions how a failure to take action at the start of the downturn has increased both the length and depth of the recession.

"A boost to the economy to sustain growth will help keep businesses open and protect people's jobs and homes."

Also included in the statement could be a postponement in a planned taxation increase for business start-ups and a new 45 per cent rate of income taxation for those earning over £150,000 per annum.