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Brown's last Budget: predictions

Hostages to fortune ahoy!

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Today sees what most people believe will be Gordon Brown's last Budget before he ascends to Tony Blair's throne.

Brown's eleventh Budget speech is expected to be a bit of a barnstormer. He is predicted to use the speech to focus on education and alleviating child poverty. The Guardian predicts he will commit to spending £1bn in reducing child poverty.

Brown is also likely to keep up the greenwash with several environmental measures. Car tax for the most polluting vehicles is expected to go up sharply - some reports suggest it will go up to £400 a year.

Reductions in corporation tax are expected - the Tories have already announced their intention to cut corporation tax by three pence. How managed service companies are taxed is also likely to change.

Other possibilities are an increase in tax credits for research and development spending, and a shake-up in how online gambling companies are taxed.

Brown will also announce the results of the Lyons review into how local government is funded.

We'll have more once the speech is delivered. ®

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