Key points from the budget:

  • Chancellor Alistair Darling opens by saying: "Every government had one aim - to maintain stability in the economic slowdown. This Budget is about equipping Britain for the times ahead...about building a fairer society."

  • Click here to see Alistair Darling in action

  • The British economy grew by 3 per cent last year, but will this year grow from 1.75-2.25 per cent, Mr Darling claimed and added that there would be no return to the inflation rates of the early 1990s.
  • Fuel duty to rise by 0.5p per litre. Mr Darling said he was postponing the 2p increase in fuel duty until October this year.
  • From April 2010, all long term recipients of incapacity benefit will attend work capacity programmes.
  • From October 2009, rules for housing and council tax benefit will mean families on benefit are better off in work. From April, 2009, child benefit will be increased from £18.10 per week to £20 per week.
  • Cash ISA limit will increase from £3,000 per year to £3,600 a year from April.
  • £200m extra for schools to raise GCSE results plus a £30m fund to improve science.
  • Funding set aside for testing proposals for road pricing.
  • Charges brought in for plastic bags from next year - money raised will go to charity.
  • Low emission cars to pay no car tax from 2010
  • 11p on a packet of cigarettes
  • Beer up 4p-a-pint
  • Spirits up 55p-a-bottle
  • Wine up 14p-a-bottle
  • Winter fuel payments for over-60s up from £200 to £250 and for over-80s from £300 to £400