The main points: education and children benefit

Inflation, growth and borrowing:

Inflationary targets have been met every year since 1997 and five and 10-year targets are expected to be met.

• Britain to have the most up-to-date warning and response system to risks of financial insecurity. Growth will be 2-2.5 per cent, followed in 2007-08 by growth of 2.75-3.5 per cent. Domestic demand is expected to grow this year by 2-2.5 per cent and 3-3.25 per cent in 2007-08.
• The government will meet its first fiscal rule, the Golden Rule, by a margin of £16 billion ( €23 billion) in the period to 2010-11.
• Net borrowing will be £37 billion, and £36 billion next year.

Tax and benefits:

Personal tax allowance raised from £4,895 to £5,035.

• Child element of child tax credit to be raised by 14 per cent over the next three years.
• Child benefit to be increased on April 10th to £17.45.
• Child Trust Fund payments of £250 and £500 at age seven.
• Duty-free for goods from outside the EU to rise to £1,000.
• Exemption on stamp duty raised to £125,000 and inheritance tax exemption raised over the next four years year to £325,000.

Pensioners:

From April 2008, free off-peak national bus travel for pensioners and the disabled.

Crime:

The number of community support officers to rise from 6,000 to 16,000 by April next year, costing £100 million.

Pay and work:

Public sector pay settlements will average 2.25 per cent.

• New help for working women who want a wider range of career choices offering higher earnings.
• By 2020, the economy will need 14 million highly-skilled workers. There are now 9 million.
• A review to be held into better alignment of the national insurance and income tax systems for low-paid workers.

Motoring:

Zero rate of vehicle excise duty for a small number of cars with the lowest carbon emissions, and £40 duty for cars with low emissions.

• From today, VED rates will be zero, £40 and then £100, £125, £150, £190 and a new band of £210 for new cars that are the most polluting.
• Duty on 50 per cent of cars will be frozen or reduced from tomorrow. Fuel duties to be frozen until September 1st.

Alcohol and tobacco:

Nine per cent duty increase on packet of cigarettes from tomorrow, duty on spirits frozen.

• From midnight on Sunday, 1p on a pint of beer, duty on champagne and cider frozen.

Charity:

Funds allocated towards a memorial to victims of July 7th London bombings.

• Initial endowment of £1 million for a charitable fund for British citizens injured in or affected by terrorist acts at home and abroad.
• £34 million for a new national sports foundation.
• Olympic trust fund for sports and cultural events taking place during London's 2012 Olympics.

Business:

Corporation tax rate unchanged.

• R&D tax credit to be expanded by doubling from 250 to 500 employees the size of companies eligible for higher credit.
• New targets for expanding trade with China, India and other emerging economies.
• £100 million of new money to double enterprise capital funds.

Statistics:

The Office of National Statistics will become independent.

Health:

• A single budget for the medical research council and NHS research will be worth at least £1 billion a year.

Education:

• New programme will recruit 3,000 science teachers and fund 250 after-school science clubs.
• Further education to A-level standard free of charge for students up to the age of 25.
• Further education reforms to be matched with £500 million of capital investment.
• Over five years, investment in schools will rise from £5.6 billion today to £8 billion a year.

Defence:

The armed forces will be given a further £800 million while peace-keeping efforts will receive an extra £200 million.

Homes:

£970 million for shared equity to help 35,000 new home-owners.

Environment:

For 2007, climate change levy to be indexed in line with inflation.

• Britain to propose World Bank $20 billion fund to help developing economies invest in alternative energy.
• Initial £20 million seed-corn finance for the first enterprise capital fund for the environment.
• Energy and environmental research institute to be created in partnership with energy firms.