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Campaigners had warned some families could face an unfair financial penalty because of delays which were not their fault.
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The DUP leader Gavin Robinson also confirms that Emma Little-Pengelly will not participate in joint engagements with O'Neill.
The Lib Dems claim Farage "attempted to shove" their South Devon MP but a Reform source accuses the party of "lying".
The prime minister did not outline a timetable, while opponents questioned the Budget's lack of detail on welfare reform.
Proposals to merge smaller councils to form larger unitary authorities were put on hold last month.
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