Ways and Means – in the House of Commons at 12:00 am on 10 March 1992.
Mr Harold Walker
, Doncaster Central
12:00,
10 March 1992
Before I call the Chancellor of the exchequer, it may be for the convenience of hon. Members if I remind them that, at the end of the Chancellor's speech, copies of the Budget resolutions will be available to hon. Members in the Vote Office.
Mr Norman Lamont
, Kingston upon Thames
3:31,
10 March 1992
I want to begin by announcing a far-reaching reform that will affect our entire system of public finance. Each year, the Budget for this country is presented in two parts. In the autumn, the Chancellor announces the Government's spending plans for the coming financial year; and in March, he sets out the revenue measures necessary to pay for them. Many criticised this uniquely British institution. Elsewhere in the world, and indeed everywhere in the private sector, the meaning of the word "budget" is crystal clear: it is a schedule showing where the money is coming from, and where it is going to.
In my view, the current system is not only illogical, it has also had a number of highly undesirable consequences. Over the years, the separation of public expenditure from taxation and the announcement of tax proposals in isolation has intensified the pressure for special reliefs and contributed to the excessively complex tax system that we have now. The time has come for reform.
I therefore intend that next year's Budget will be the last spring Budget. From then on the annual Budget will be in December, and it will cover not just taxation but also public expenditure. The Budget in December 1993 will contain the Government's proposals for both revenues and expenditure in 1994–95. It will also include spending plans for the subsequent two years. The 1994 Finance Bill will be presented to the House in January rather than April.
I am publishing today a white paper on the mechanics of this change. I believe that it will lead to better decisions about both taxation and spending. It will enable spending plans to be considered alongside the tax plans needed to pay for them. Above all, it will enable Government and Parliament to make more informed and rational choices between spending measures and tax changes. I hope that it will be warmly welcomed by the House.
The chancellor of the exchequer is the government's chief financial minister and as such is responsible for raising government revenue through taxation or borrowing and for controlling overall government spending.
The chancellor's plans for the economy are delivered to the House of Commons every year in the Budget speech.
The chancellor is the most senior figure at the Treasury, even though the prime minister holds an additional title of 'First Lord of the Treasury'. He normally resides at Number 11 Downing Street.
The Chancellor - also known as "Chancellor of the Exchequer" is responsible as a Minister for the treasury, and for the country's economy. For Example, the Chancellor set taxes and tax rates. The Chancellor is the only MP allowed to drink Alcohol in the House of Commons; s/he is permitted an alcoholic drink while delivering the budget.
A document issued by the Government laying out its policy, or proposed policy, on a topic of current concern.Although a white paper may occasion consultation as to the details of new legislation, it does signify a clear intention on the part of a government to pass new law. This is a contrast with green papers, which are issued less frequently, are more open-ended and may merely propose a strategy to be implemented in the details of other legislation.
More from wikipedia here: http://en.wikipedia.org/wiki/White_paper
