BRITISH women despaired yesterday as Chancellor George Osborne announced that the controversial tampon tax would remain and be used to pay for domestic abuse and rape counselling services.

During his spending review speech in Parliament, Mr Osborne argued he could not lower the 5 per cent rate on sanitary products because of “EU law.”

He added, however, that the government would use the £15 million a year revenue from the tax to fund women’s charities.