What should we expect from George Osborne’s budget today?

The Chancellor George Osborne will unveil the new coalition government’s emergency budget at 12.30pm today. He has already indicated the budget will be the tightest in decades, based on a pledge for a rapid reduction in the deficit. Osborne has hinted at public sector pay freezes, a bank levy, capital gains tax changes, reform of the benefits system and a holiday in National Insurance contributions for new firms in hard-hit areas.