Sign up today and save up to 67% on a Hartford Courant digital subscription

Conservative Party (UK)

UK backs off cuts to tax breaks for lower income households

Britain's Treasury chief abandoned controversial cuts in tax credits for the working poor and kept police funding intact on Wednesday as he updated Parliament on the government's budget plans.

George Osborne said improvements in public finances made it possible to back away from the unpopular credit cuts his government had proposed earlier. As members of his party cheered, Osborne said he accepted the concerns of those who feared the impact on people making minimum wage.

"I've listened to the concerns. I hear and understand them," he said. "And because I've been able to announce today an improvement in the public finances, the simplest thing to do is not to...