Shadow chancellor George Osborne has accused Alistair Darling of ducking tough decisions on spending, and said Labour should never be trusted with people's money again.
It followed a pre-Budget report in which the Chancellor confirmed plans for a 50% windfall tax on bank bonuses.
He raised borrowing forecasts for this year and next, and announced a 1% cap on public sector pay for two years from 2011.
All National Insurance rates will rise by an another half of one per cent in 2011.
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