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Fears 10p tax deal unravelling

By Gary Gibbon

Updated on 24 April 2008

Nervous Labour MPs fear their hard won deal over the abolition of the 10p tax rate could be unravelling.

With calls for clarification from all parties, there's fresh confusion over the package drawn up to appease Labour rebels angry with Gordon Brown of the tax changes.

Chancellor Alistair Darling had to reassure them at treasury questions that the average losses would be offset.

The treasury chief secretary Yvette Cooper suggested in an interview last night that of the 5.3m people who are losing out, only pensioners under 65 would be compensated.

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