date: 13 May 2008

embargo: For immediate release

'Fairness is back on the agenda' says TUC

Responding to the announcement today (Tuesday) by the Chancellor on compensation for those who have lost out under the 10p tax rate abolition, TUC General Secretary Brendan Barber said:

'We welcome the Chancellor's statement today. He has done what he had to do to undo the damage caused by the abolition of the 10p tax band.

'The route he has chosen has the merit of simplicity, as it is based on straightforward changes to tax allowances, rather than new complexities.

'By limiting gains to standard rate tax payers, he has sent a powerful signal that fairness is back on the agenda. We look forward to further moves to help the low paid through the tax system.

'But this will have to be paid for, and the Chancellor should move to close the loopholes that the super-rich use to avoid tax, rather than take it from hard pressed public services or the pledge to end child poverty.'

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Press release (300 words) issued 13 May 2008