The details of Gordon Brown's Budget announcement.

The Economy

Inflation: The underlying rate of inflation averaged two per cent in the last quarter of last year, and is expected to rise to 2.25 per cent by the final quarter of 2002 and to 2.5 per cent - the government's target - by the end of 2003.

Economic Growth: UK grew by 2.2 per cent last year. On track to grow by two to 2.5 per cent this year, by three to 3.5 per cent next year, and by 2.5 to three per cent in 2003.

Business investment: growth rising to 5.5 to 6.25 per cent in 2003.

Unemployment: Remains lower than the US, Japan and Europe.

The Public Purse

Current budget surplus will be £3 billion this year, and standing at £7 billion, £9 billion, £7 billion, £9 billion in future years.

Debt to GDP will be 30.2 per cent this year and in following years will stand at 30.4 per cent, 30.4 per cent, 30.7 per cent and 31 per cent.

Net public borrowing will increase to £11 billion this year and then £13 billion, £13 billion, £17 billion and £18 billions in subsequent years.

Debt interest fell to £22 billion in 2001/02 and should fall to £21 billion this year, two per cent of the national income.

There will be an extra £4 billion of public spending next year.

There will be a new measure of "core debt", which will be "prudently adjusting debt for the effects of the economic cycle".

Enterprise and the Corporate Tax Regime

Basic rate of corporation tax for small businesses: to fall from 20 pence to 19 pence with immediate effect.

Starting rate of corporation tax: abolished - a move which means the first £10,000 in a firm's profit is tax free.

New tax reliefs on the acquisition of assets, reducing corporation tax on the sale of shareholdings.

Community investment tax credit: worth £40 million.

New Research and Development tax credit: set at 25 per cent - worth £400 million to British business.

Creation of a paperwork-busting flat-rate VAT scheme for firms with an annual turnover of less than £100,000. This measure will be extended next April to cover over 700,000 companies. Automatic fines by Custom and Excise are to be abolished for the same target group of companies.

Exemption on stamp duty for premises in deprived areas: extended to cover all properties.

Brown to close loopholes of foreign companies operating in the UK but not paying tax despite having offices and employees in the UK.

The North Sea oil tax: supplementary charge of 10 per cent will be made on profits. Brown also ordered that the 25 per cent relief on first year profits would be raised to 100 per cent. A consultation will begin to discuss a date to abolish the royalty on North Sea Oil in order to aid the next phase of development.

Capital allowances for investment in green technologies: set at 100 per cent.

Capital gains tax slashed to 20 per cent for business assets held for one year and to 10 per cent for those held for two years. CGT cut to 10 per cent for three quarters of firms paying the 10 pence rate - "rewarding entrepreneurship".

Debt recovery: chancellor to give small companies the automatic ability to recover VAT debts after six months.

Payroll administration: help for small firms worth £40 million immediately and £110 million in subsequent years. £40 million in the first year and £420 million to firms going online.

Training: £13 million for a new subsidy for employers giving workers time off to better themselves. Government encouragement for entrepreneurship among school leavers, including five days work experience and setting up classroom based companies.

The Personal Tax Regime

Brown said he wanted to create a "family friendly tax and benefits system".

National Insurance: employers, employees and the self employed to pay an additional one per cent in contributions. Equivalent to £3.70 per week on those earning £21,400 and £5.75 per week for those earning £32,100 a year.

Income tax: no rise in basic or upper rates.

Tax and NI thresholds: income tax and NI personal allowances for those aged under 65 frozen in 2003/2004.

New tax credit for parents who stay at home to look after children: £2.5 billion extra support for families through tax credit for those earning up to £58,000 - £66,000 in the first year of a child's life.

Duty Levels

Cigarettes: inflationary increase of six pence per packet of 20.

Duty on beer, wine and spirits: frozen - a real term increase in the duty on alcopops. On beers from small breweries, duty is to be halved, equal to a 14 pence reduction in the price of a pint, effective in time for the World Cup.

Betting tax: will be extended to bingo, with the duty on the game abolished in favour of a tax on profits.

Stamp duty: abolished on commercial properties in deprived areas. Tax avoidance loopholes on stamp duty will be closed, the chancellor said.

Petrol duty: frozen.

Diesel duty: frozen.

Licences: Frozen, with a £35 cut for fuel efficient cars, a £35 cut for fuel efficient motorcycles and a £55 cut for fuel efficient vans.

Public Services

Budget 2002: adds a total of £4 billion to spending on public services in 2003/04.

Post September 11: Gordon Brown has pledged an extra £50 million for domestic security with another £950 million going to defence.

Emergency aid budget: an extra £150 million allocated to emergency aid work by the Department for International Development.

Education: pledge to "increase significantly the share of national income" spent on education. Estelle Morris to announce large rises to direct payments to head teachers, up to £114,000 to secondary schools and £39,300 to primary schools.

Law and order: "no level of crime is acceptable" - £100 million earmarked for secure and prison accommodation is to be supplemented by £180 million, £110 million of which is from the Treasury reserve.

Benefits and Welfare

Benefits: Brown said the government's aim was to continue to ensure that "work pays more significantly than benefits".

Unemployment: in six to 20 high unemployment areas people on benefits would be asked to accept guaranteed employment. In London and some other areas there would be mandatory work preparation courses for young people who are in and out of employment.

Working Families Tax Credit: raised to £237-a-week minimum. For lone parents there will be help with childcare costs and they will get £179-a-week.

Work Pays: People over 25 who move off benefit and into work will now get a minimum £280-a-week in wages if married and £200-a-week if single.

Families: Brown said he was applying the Beveridge principles that founded the welfare state in the context of the modern age. £2.5 billion tax credit for families. The child credit ceiling has been raised to £58,000-a-year and for the first year of a child's life the ceiling is raised to £66,000-a-year.

Maternity pay: extended to up to 26 weeks, the rate will be £1,400 for those earning up to £50,800.

More than two million of the poorest families would be £54.25-a-week better-off.

Childcare: £50-a-week tax credit that paid to households with incomes of up to £75,000-a-year.

Disabled person's tax credit: £22 increase to £194-a-week.

State pension: Brown told the House that each household will be an extra £400-a-year better off. Five million pensioners will benefit and 170,000 will pay no income tax.

Age-related personal allowance: rises to allow £6610 of income to be offset against tax - average pensions household would be £1,150 better off

Winter fuel payment: remains at £200.