National minimum wage to increase from £6.50 to £7.20 by next April

The work and pensions secretary fist-punched the air and yelled "fantastic" and "get in" as Mr Osborne said from next April over 25s would be entitled to £7.20 an hour, and this will rise to £9 by 2020. 

This will replace the current £6.50 minimum wage for over 21s. 

In the first Conservative budget since 1996, Mr Osborne told the House of Commons, "Britain is able to afford a pay rise. 

"Because let me clear, Britain deserves a pay rise and Britian is getting a pay rise. 

"I am today announcing a new national minimum wage.

"We will set it to reach £9 an hour by 2020. 

"The new national living wage will be compulsory. Working people aged 25 and over will receive it, it will start next April at £7.20." 

Throughout the Chingford and Woodford Green MP can be seen grining and nodding his head up and down.

Towards the end of the announcement, he punches the air with both fists, like a football fan celebrating a goal. 

His response was quickly picked up on Twitter. 

Let the man have his little moment. For me, though, the true reveal of IDS's cheering is that he's clearly never cheered before in his life.

— Tom Black (@tomblackuk) July 8, 2015

Fknl #IDS about to 'bust a nut' there.... #Budget

— Palatino Linotype (@PLinotype) July 8, 2015

Iain Duncan Smith's face when they announced the living wage is going down in history. #budget2015

— Joe Watts (@JoeWatts_) July 8, 2015

Iain Duncan Smith celebrating a Tory budget as though he's just scored the winning goal in the Champions League.

— Enis Köylü (@eniskoylu) July 8, 2015

Other measures announced in today's budget include;

• Corporation tax cut to 18% by 2020
• Personal income tax allowance to rise to £11,000
• 40p income tax rate rise to £43,000 from £42,385
• Scrapping housing benefit for under 21s
• Public sector pay rise of 1% over next four years 

• Increase in inheritance tax threshold to raise from £650,000 to £1m for married couples by 2017

• Freeze of fuel duty and overhaul of vehicle excise duty bands

• Permanent non-dom status to be abolished by 2017

• Maintenance grants for students with family incomes below £42,000 to be scrapped and replaced by loans repaid after salary hits £20,00

And, finally almost £13bn in benefit cuts, including four-year working-age benefit freeze and limiting tax credits and housing allowance, but excluding maternity pay and disability benefits. 

Labour's acting leader Harriet Harman said the measures will make the "country more divided" and "Britain will be worse off".