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Tax Credits Up-rating Regulations 2009

As I indicated, we shall have to wait a month to hear the Chancellor set out in the Budget the Government’s broader strategy on managing the economy. The noble Lord would be the first to emphasise that we live in greatly changed times. However, he will appreciate that it is clear from the regulations that we are committed to this year’s increases, but that decisions have not yet been taken for the future. I emphasise that a falling index is an unparalleled feature in his and my lifetime. I am a few years older than the noble Lord and I cannot remember a falling index.