Chancellor announces £50m fund for flood victims

Chancellor George Osborne has announced a £50 million fund for families and businesses affected by flooding in Cumbria and Lancashire.

Mr Osborne said families would be able to claim up to £5,000 each from the fund, which will be distributed by local councils.

He added that they are continuing to assess damage to flood defences in the area.

The Chancellor denied claims by Shadow Business Secretary Angela Eagle that £115m had been cut from flood defences this year.

Mr Osborne said: "We're actually increasing the money we spend on our flood defences and it's just not the case that that has been reduced."