CHANCELLOR Alistair Darling is unveiling his pre-Budget report including a package of measures to kick-start the economy in a bid to avoid a deep recession.

The mini-budget is designed to give businesses a boost and to promote consumer spending by handing tax cuts to individuals.

At the same time he is explaining how he will pay for the massive levels of borrowing to pay for the rescue plan.

In his speech to the House Commons this afternoon he said:

• Banks are to raise equity in faster and simpler ways;
• The UK faces economic crisis from a position of relative strength. He said: "We did fix the many roofs that needed fixing." 
•  Inflation is expected to continue to fall;
• Growth forecast cut to 0.75 per cent in 2008.;
• Borrowing will grow to £78bn this year and £118 next year (8 per cent of GDP);
• Government debt will stop increasing by 2015/16
• The pre-Budget report contains a £20bn fiscal stimulus package between now and April 2010;
• The government is to set a new temporary operating rule to set policies to improve the cyclically adjusted current budget each year once the economy emerges from the downturn, so it reaches balance and debt is falling once the global shocks have worked their way through the economy;
• Tax receipts from the financial sector alone are expected to reduce by 35 per cent  this year;
• Tax take from Stamp Duty is down 40 per cent and it is inevitable tax revenues will take some years to come back up, meaning borrowing will be significantly higher than forecast;
• A cut in VAT from 17.5per cent to 15per cent until the end of next year, coming into effect next Monday, December 1, to continue for 13 months before returning to the present level of 17.5pc at the beginning of 2010;
•  The government will find an additional £5 billion of efficiencies in 2010/11;
• To help small firms, there will be a temporary increase in the threshold for empty property relief, with empty commercial properties with a rateable value below £15,000 exempt from business rates for 2009/10;
•  Revenue and Customs will allow firms facing difficulties to spread payments of all business taxes over a timetable they can afford, for as long as they need;
• The government to offer credit through a temporary Small Business Finance Scheme worth £1bn to small firms;
• Government will also offer another £1bn of support through the Export Credit Guarantee Department.;
• The increase in the small companies rate of Corporation Tax will be deferred, leaving their 2009 tax rate unchanged;
• Air passenger duty to be reformed into a four-band system, ensuring those who travel further and have a larger environmental impact meet the cost;
• An extra £100m to be provided, with a further £50m brought forward, to help 60,000 more households insulate their homes;
• Watchdog Ofgem to monitor energy price changes and publish quarterly reports on the link between wholesale and retail prices;
• Government to take steps to improve the supply of mortgages, avoid repossessions and increase the number of new homes;
• Government to seek European Commission approval and work on a detailed scheme to support mortgage market by providing for a temporary period guarantees for securities backed by new mortgages;
• Major mortgage lenders have agreed to wait at least three months after a borrower falls into arrears before seeking repossession.;
• £15m of new funding for free debt advice will be open to all;
• The government's Rapid Response Service will expand to help those thrown out of work in all redundancies, not just those at the largest workplaces;
• National Employment Partnership will work with 20 of the biggest employers to fill more than 500,000 unfilled vacancies;
• Differential first-year rates of Vehicle Excise Duty confirmed to be introduced in April 2010;
• In 2009, duty rates for all cars will only increase by a maximum of £5;
• From 2010, the maximum increase for the most polluting cars will be £30 instead of £90, with less polluting cars seeing no increase or a cut of up to £30;
• New Saving Gateway to be set up so from 2010 up to 8 million people on low incomes who invest money in it will get 50p added for every £1 they save;
• Pension credit to be increased in April from £124 to £130 a week for individuals and from £189 to £198 for couples;
• State pensions will increase in line with the highest rate of inflation this year, an increase of £4.55 a week for a single person;
• Pension and child benefit increases will take effect in January, three months early, and every pensioner to get a one-off payment of £60 from January, £120 for couples.

The Chancellor sat down at 4.24pm.