Chancellor says child benefit changes will go ahead 

The Chancellor George Osborne appeared to rule out changes to the policy of cutting child benefit for higher rate taxpayers after the Prime Minister suggested there might be a rethink.

A possible change of tack was hinted at in an interview with David Cameron in the latest edition of House magazine. Under the current plans, due to come into effect in January, if one member of a couple earns more than £42,000 the family will lose child benefit. Some Conservatives have been concerned that this might mean stay at home mums may be forced back into the workplace. Families where both members of a couple work and earn less than £42,000 will retain their child benefit, even though their joint income may be higher.

Mr Cameron said in his interview: "Some people say that's the unfairness of it, that you lose the child benefit if you have a higher rate taxpayer in the family. Two people below the level keep the benefit. So there's a threshold, a cliff-edge issue.

"We always said we would look at the steepness of the curve. We always said we would look at the way it's implemented and that remains the case, but again I don't want to impinge on the chancellor's budget."