Darling will deliver his first Budget speech this Wednesday

Alistair Darling faces straitened circumstances in Budget 2008. The Chancellor of the Exchequer Alistair Darling will deliver his first Budget speech on Wednesday 12 March 2008.

Mr Darling has presided over the first run on a British bank in more than a century, the biggest ever loss of personal data (from a Government intent on introducing ID cards), an unprecedented backlash from the business community and the threat of a rapid exodus of some of Britain's most successful and wealthy residents.

Mr Darling has been on the receiving end of the worst press of any Chancellor since Norman Lamont and the UK's departure from the European Exchange Rate Mechanism in 1992. However, more than just the Chancellor's reputation is at stake when he stands up.

The Government's finances are in a mess. Much of what the Chancellor will tell us we already know thanks to his predecessor's habit - which Mr Darling has continued - of pre-announcing measures.

We know Individual Savings Accounts are changing, we know the basic rate of Income Tax will be cut, we know about Capital Gains Tax (and what a mess Mr Darling made of changing that!).

We know the Chancellor's likely to say something to encourage long-term fixed rate mortgages. We know he wants to restart the mortgage-backed securities market. We also know he's desperately short of money - so watch out for 'stealth' taxes.

Your fuel, both for your car and for yourself - whatever flavour of alcohol you prefer - is going to cost more.