UK budget 2016: Live - latest updates as the Chancellor delivers his speech

George Osborne was outlining the Government's spending plans today in the Commons
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George Osborne today announced his plans for spending in his 2016 spring budget.

Measures unveiled included a new 'lifetime ISA' to help savers, a tax on sugary drinks and a rise in the threshold in the top rate of income tax.

Our live coverage below has finished. For more detailed stories and analysis click the links below:

Here's how it happened:

2.20pm: Homelessness charity Crisis has welcomed Mr Osborne's pledge to spend more than £110 million in a drive to end rough sleeping first revealed by the Standard yesterday.

Chief executive John Sparkes said: We welcome today’s commitment to help more people off the streets and out of hostels. Rough sleeping has more than doubled since 2010 and these vital funds are needed now more than ever."

But he added a change in the law to prevent single homeless people being turned away by councils was needed 'if the Government is serious about tackling' the issue.

2.01pm: That brings it to an end. But stay with us for reaction and full coverage of the key announcements from Mr Osborne's eighth Budget.

2pm: Mr Corbyn appears to stumble over his words as he closes his response to the Budget with a call to act in an ‘intergenerational way’ to build a freer, more equal and more content Britain. The remarks are met with obligatory jeers from the Tory benches.

1.55pm: Academies. The Labour leader says plans to make all schools in England academies do not address the "real issues" of teacher shortages and "ballooning" class sizes.

1.50pm: This was George Osborne's face after a gag from Mr Corbyn, who claimed 12 homes had been built in Ebbsfleet for every press release the Government has released about the large-scale housing project.

1.42pm: Mr Corbyn is attacking the speech. He claims the Budget is a culmination of "six years of failure" with "unfairness at its very core."

1.37pm.. And he's finished. A bit of reaction from Mr Corbyn and we'll wrap things up here, but there will be more stories to follow, including further reaction and case studies.

1.34pm: ISA limit going up from just over £15k to over £20k.

Big news that could help Londoners struggling with property. A brand new pension system called 'the lifetime isa'. Anyone under 40 can save up to £4k each year, and for every £4 you save, the Government gives you £1.

The government is "giving people money to save for both property and retirement," the Chancellor said.

1.33pm: Changes to the personal allowance and the higher rate 40p tax threshold.

1.32pm: Here's a graphic detailing forecasts for the UK's budget surplus

1.30pm: Capital gains tax. Headline rate is 28pc. It's being cut to 20pc. Base rate going from 18pc to 10pc. This is aimed at freeing up homes in London and could be seen as good news for London property owners looking to turn a profit.

1.27pm: Fuel duty frozen for the sixth year in a row. "It's the tax boost that keeps Britain on the move," says the Chancellor.

Beer duty and cider duty also frozen. Further freeze on whiskey and other spirits.

Delicious pints hopefully won't get much more expensive.
iStock

1.23pm: New tax on sugary drinks to cut childhood obesity. There will be separate tax bands depending on how much sugar is contained in a drink. Companies may "choose to pass the cost on to consumers," says Mr Osborne.

He has announced a longer school day that will be voluntary for schools but compulsory for students. Money from the sugar tax will be used to fund sport in primary schools.

UPDATE: Jamie Oliver is very happy about this.

1.20pm: Schools - extra funding pledged so that every primary and secondary school can become an academy. London's school system has been "turned around," says Mr Osborne, adding he wants to do the same in the North.

Half a billion pounds has been earmarked to go towards this. It "puts the next generation first," says the Chancellor.

1.16pm: Green light to HS3 rail to "rebalance" the country.

London transport: Crossrail 2 will be "warmly welcomed." Mr Osborne uses this to make a jibe at Jeremy Corbyn, saying the link, which goes through Islington, would be perfect for him because he lives in the north and is "heading south."

And now a gag about "Broadchurch" linked to an annoucement about more money for cathedrals. “Because there is one thing that is pretty clear these days, the Conservative party is a broad church,” he says. He's on a roll.

1.14pm: A big one for firms in London. The GLA will get devolved powers to set business rates three years earlier than expected from next April.

Plans to help young people get on the housing ladder in London. "When the south-west votes blue their voice is heard loudly in Westminster."

Mr Osborne confirms fund is being set up to help tackle homelessness in the UK.

1.11pm: Mr Osborne announces a series of measures aimed at increased ties with Scotland. The price of the tolls on the Severn crossings will be halved by 2018. Northern Ireland is to get its first air ambulance service.

1.07pm: The oil and gas sector: "Oil prices continue to fall." Mr Osborne says he is cutting in half the supplementary charge on oil and gas to 10% and effectively abolishing petroleum revenue tax. This caused an outbreak of shouting from the opposition benches.

These cuts will be back dated to Jan 1 this year.

1.02pm: Steps to help small firms with new tax measures on web giants who store goods in the UK. Two new tax-free allowances for trading and property income. "A tax break for the digital age."

From April next year, 600,000 small business will pay no business rates at all, says the Chancellor.

"A typical corner shop in Barnstaple, a hairdresser in Leeds and a newsagents in Nuneaton will pay no business rates."

Mr Osborne announced changes to bands on stamp duty on commercial properties that will see a cut in tax bills for small businesses.

1pm: Mr Osborne is explaining new plans for corporation tax and tax havens. It's complicated so if you want more details it will all be found here once he's finished.

Essentially, it will be cut to 17per cent by April 2020.

12.56pm: Steps to stop tax evasion will raise £12bn over this parliament, says Mr Osborne. He has criticised the previous Labour government over tax loopholes for the richest in society.

Mr Osborne says he has achieved solid, steady growth, more jobs, lower inflation and all "done in a fair way."

12.54pm: UK deficit revised up from 81.7pc to 82.6pc of GDP for 2016/2017

12.51pm: Disability budget "will rise by more than £1bn," say the Chancellor. Foreign aid budget will not go up. Public Sector pensions employer contributions will rise but the cost to workers will not go up, claims the Chancellor, adding it's a budget "for the next generation."

12.48pm: Moving on to cuts. Mr Osborne says the country will be "spending no more than what is raised in taxes." Aim is to save £3.5bn in 2019/20.

12.46pm: Chancellor re-iterates his tag line: "act now so we don't pay later"

12.45pm: Lowest number of people on benefits since 1974, says Mr Osborne. 2m jobs created. Almost 90pc in skilled occupations. Three quarters are full-time and unemployment "falling fastest in the North East". Loud jeering from rival bench.

12.42pm: Britain expected to grow faster this year than any major country in the world, says the Chancellor. Cue lots of jeering. On the EU referendum, he is citing the OBR. "A vote to leave would cause disruptive uncertainty.

"The house knows my view," says the Chancellor, "Britain would be stronger, safer and better off" within the EU.

12.40pm: Today, Britain is among the best-prepared countries for challenges that may lie ahead. "When I became Chancellor we borrowed £1 in every £4. Now it's £1 in £14", says Mr Osborne.

12.39pm: A picture of the Chancellor for no real reason:

Parliament TV

12.35pm: Labour market 'delivering highest employment in our history,' says the Chancellor. The economy is stronger because "difficult" decisions were made and the Tories stuck to their long-term economic plan, he says. Mr Osborne says the outcome for global economy is weak therefore Britain must act now to avoid "paying later."

12.34pm: PMQs over. Here we go

12.25pm: Oliver Tetlow shooting: PM asked by Brent MP Dawn Butler whether he will arrange meetings aimed at making the streets of London safer after a drive-by murder. Mr Cameron has said he will arrange meetings to ensure that voices are heard.

12.21pm: The Prime Minister is defending the arrangement over the deal for a power plant at Hinkley after being criticised by the SNP. Mr Cameron said the strength of the deal is that there is no payment unless it goes ahead and is built.

12.13pm: PMQs underway. And the first thing worth mentioning is Jeremy Corbyn's attire. He's much smarter than usual, but coming under a certain amount of criticism for wearing a blue jacket with black trousers. His collar however, is done up.

11.45am: At a glance: we can expect

  • Spending cuts - the government wants to slash 50p on every £100 it spends by 2020
  • A clampdown on tax loophole which lets companies disguise employees as freelancers 
  • A possible holding back of fuel duty rises after pressure from Tory backbenchers
  • Cuts to Personal Independence Payments - a type of disability benefit offered to people between 16 and 64 which ranges between £21.80 and £139.75 per week

11.23am: The Chancellor has left Downing Street with the budget box ahead of the speech which will start at 12.30pm after PMQs

10.05am: The Times is reporting a possible cut to capital gains tax, which could be good news for people in affluent areas of London. Officials would hope it might encourage people into selling second homes and therefore help ease the London housing crisis.

9.51am The Treasury tweeted this:

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