The March 2010 United Kingdom Budget, official known as Budget 2010: Securing the recovery, was delivered by Alistair Darling, Chancellor of the Exchequer, to the House of Commons on 24 March 2010.[1]
.svg) | |
| Presented | 24 March 2010 (Wednesday) |
|---|---|
| Parliament | 54th |
| Party | Labour |
| Chancellor | Alistair Darling |
| Total revenue | £541 billion |
| Total expenditures | £704 billion |
| Deficit | £163 billion |
‹ 2009 | |
The budget speech outlined the Labour Government's fiscal policies prior to the 2010 general election, which had to be called before July.
The Budget's main headlines included:
- A one-off "bank payroll tax" on bankers bonus payments, projected to be worth £2bn[2]
- £11bn of savings across Government and a further £5bn savings from targeted spending
- Introduce a new right to open a basic bank account[3]
- Above-inflation increases to alcohol and tobacco duties, with a pledge to redefine strong ciders in September 2010
- To reduce a previously announced fuel duty increase in April 2010, and introduce small increases at intervals
- Temporary increase in small business rate relief
- Threshold for stamp duty raised from £125,000 to £250,000 for first-time buyers for two years, and increased stamp duty on homes over £1,000,000 to 5%
- Pledge of an increase in future ISA savings limits to keep pace with inflation, and confirmed previously announced increase in ISA savings limits
- Introduction of a tax break for the British video games sector
The Chancellor aimed for public sector net borrowing to fall to 8.5% of GDP by 2011-12, and 4.0% by 2014-15. Public sector net debt was projected to increase to 73% of GDP by 2012-13.
The Treasury published the Finance Act 2010 on 1 April, running to 240 pages.[4] After the General Election was called on 6 April, the Chartered Institute of Taxation expressed concern at the lack of time for debate on complex measures.[5] In the event, many of the clauses announced in the Budget speech were dropped from the Bill before Parliament was dissolved.[6]
Taxes edit
| Receipts | 2010-10 Revenues (£bn) |
|---|---|
| Income Tax | 146 |
| Value Added Tax (VAT) | 78 |
| National Insurance | 97 |
| Excise duties | 46 |
| Corporate Tax | 42 |
| Council Tax | 26 |
| Business rates | 25 |
| Other | 81 |
| Total Government revenue | 541 |
Spending edit
| Department | 2010-10 Expenditure (£bn) |
|---|---|
| Social protection | 196 |
| Health | 122 |
| Education | 89 |
| Debt interest | 43 |
| Defence | 40 |
| Public order and safety | 36 |
| Personal social services | 33 |
| Housing and Environment | 27 |
| Transport | 22 |
| Industry, agriculture and employment | 20 |
| Other | 74 |
| Total Government spending | 704 |
References edit
- ^ "Budget 2010". BBC News. 24 March 2010. Retrieved 24 March 2010.
- ^ HM Treasury, Budget 2010 Annex C
- ^ Chancellor set to announce basic bank accounts for all Archived 2013-01-16 at archive.today allaboutmoney.com, 24 September 2012
- ^ Finance Bill out with just days to make it law Archived 2010-04-05 at the Wayback Machine, Accountancy Age, 1 April 2010
- ^ Just a few hours of scrutiny for Finance Bill as Election announced Archived 2012-07-19 at archive.today, Accountancy Age, 6 April 2010
- ^ Finance Bill carved out in deadline scramble Archived 2010-04-12 at the Wayback Machine, Accountancy Age, 7 April 2010
External links edit
- Budget 2010 (Overview), HM Treasury document at The National Archives
- Budget 2010: Securing the recovery, HM Treasury page at The National Archives