Three taxes introduced in the Budget last month have been dropped from the Finance Bill because of time constraints.
With Parliament due to be dissolved soon, ahead of May’s general election, the government acceded to opposition pressure and agreed to abandon plans for a broadband levy on phone lines, a higher duty on cider and changes to tax relief on holiday homes.
The tax increases fell by the wayside in an effort to fast-track the Finance Bill, the piece of legislation that allows measures in the Budget to become law, before the election.
The 50p a month levy on landlines was intended to raise revenues to fund the introduction of super-fast broadband throughout the UK.
All landlines would have been subject to the tax, which aimed to secure £170 million annually for the planned broadband roll-out.
Changes to the tax relief on holiday homes would have affected over 100,000 self-catering holiday home owners, while the duty on cider was due to increase by 10 per cent in order to bring it in line with the taxes on other alcoholic drinks.