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Review of Lords confirmed in wake of tax credit defeat

A review into how MPs can be given the "decisive role" over key financial decisions has been set up following the Government's humiliating Lords defeat over plans to cut tax credits.

Chancellor George Osborne has insisted he will press ahead with changes to reduce the welfare bill, despite the double defeat in the House of Lords.

David Cameron ordered a "rapid review" of the relationship between the two Houses of Parliament which will be chaired by former Lords leader Lord Strathclyde.

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Bercow: 'No procedural impropriety' in House of Lords vote

Bercow has insisted that the House of Lords were acting within their rights when they voted on tax credit motion Credit: PA Wire

Commons Speaker John Bercow has insisted that the House of Lords were acting within their rights when they voted for a motion to delay £4.4 billion of tax credit cuts while an impact assessment is carried out.

Speaking during Treasury questions he said:

Nothing disorderly has occurred, there has been no procedural impropriety - that would not have been allowed.

Whether people like what happened last night on the substance of the issue or in terms of their views on constitutionality is a matter for each and every one of them.

In terms of where matters rest... this is now a matter for the Government to take forward as it thinks fit.

– John Bercow

The Speaker's comments came following accusations by leader of House of Commons Chris Grayling that it "cannot be right" for the unelected Lords to stand in the way of the changes.

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Review of Lords confirmed in wake of tax credit defeat

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