The Chancellor George Osborne delivered his emergency Budget on 22nd June 2010, within the 50 day timescale set when the coalition Government came to power. In order to 'balance the books', cuts to tax credits and housing benefit were announced as part of a wide range of welfare reforms. As expected the rate of VAT is to rise and those in the public sector will face a real terms pay cut by way of a pay freeze for two years for those being paid more than £21,000. In addition, a levy on Banks will be introduced in January 2011 in a move expected to generate around £2 billion of additional revenue.