2016 United Kingdom budget

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2016 (2016) United Kingdom budget
Royal Coat of Arms of the United Kingdom (HM Government).svg
PresentedWednesday 16 March 2016
Parliament 56th
Party Conservative Party
Chancellor George Osborne
Total revenue£716 billion ($0.98 trillion)
Total expenditures£772 billion ($1.06 trillion)
Deficit £56 billion (2.9% of GDP)
Website 2016 UK Budget
  July 2015
Chancellor George Osborne delivering his Budget Statement George Osborne ready for 2016 Budget.jpg
Chancellor George Osborne delivering his Budget Statement

The 2016 United Kingdom budget was delivered by George Osborne, the Chancellor of the Exchequer, to the House of Commons on Wednesday, 16 March 2016.

Contents

It was the second fully Conservative budget delivered by Osborne, after the July 2015 budget. This was to be Osborne's last budget as Chancellor, as he was replaced by Philip Hammond on 13 July by way of Theresa May's cabinet reshuffle.

Background

In the November 2015 Autumn Statement, the independent Office for Budget Responsibility predicted that the UK economy would grow by 2.4% in 2016. [1]

Budget announcements

201617 taxes and spending

Taxes

Receipts2016-2017 revenues (£ billions). [9]
Income Tax182
Value Added Tax (VAT)138
National Insurance126
Excise duties48
Corporate Tax43
Council Tax30
Business rates28
Other120
Total Government revenue715

Spending

Department2016-2017 Expenditure (£ billions). [10]
Social protection240
Health145
Education102
Debt interest39
Defence46
Public order and safety34
Personal social services30
Housing and Environment34
Transport29
Industry, agriculture and employment24
Other49
Total Government spending772

Reactions

The Leader of the Opposition, Jeremy Corbyn, described the budget as having "unfairness at its very core", singling out cuts to disability benefits and corporate tax for particular criticism. However, he expressed his approval for the introduction of the sugar levy in his House of Commons response. [11]

Secretary of State for Work and Pensions, Iain Duncan Smith, resigned two days after the presentation of the budget, describing planned cuts within his department "as a compromise too far". [12]

See also

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References

  1. Penny, Thomas (25 November 2015). "U.K. 2016 economic growth forecast raised to 2.4%, Osborne says". Bloomberg News .
  2. 1 2 3 4 5 Staff writer (March 2016). "Budget 2016 summary: Key points at-a-glance". BBC News . BBC.
  3. Whale, Sebastian (16 March 2016). "George Osborne to announce £100m to tackle homelessness". PoliticsHome . Dod's Parliamentary Communications. Archived from the original on 8 April 2016. Retrieved 24 March 2016.
  4. Pennells, Sarah. "Budget 2016 - how are you affected?". SavvyWoman. Retrieved 16 March 2016.
  5. 1 2 Staff writer (16 March 2016). "Cigarette prices in UK will be subject to 'effective floor'" . Financial Times . Nikkei.
  6. Staff writer (16 March 2016). "Budget 2016: Fuel duty frozen for sixth year in a row". BBC News . BBC.
  7. Staff writer (17 March 2016). "Deal reached to scrap 'tampon tax', officials say". BBC News . BBC.
  8. Staff writer (16 March 2016). "Budget 2016: Severn bridge tolls to be halved". BBC News . BBC . Retrieved 19 March 2016.
  9. HM Treasury (16 March 2016), "Government spending and revenue: Chart 2: Public sector receipts 2016-17", in HM Treasury (ed.), Budget 2016 (pdf), London: HMSO, p.  6, ISBN   9781474129572.
  10. HM Treasury (13 August 2023), "Government spending and revenue: Chart 1: Public sector spending 2016-17", in HM Treasury (ed.), Budget 2016 (pdf), London: HMSO, p.  5, ISBN   9781474129572.
  11. Staff writer (16 March 2016). "Budget 2016: Jeremy Corbyn attacks Osborne's 'failure'". BBC News . BBC.
  12. Staff writer (19 March 2016). "Iain Duncan Smith quits over planned disability benefit changes". BBC News . BBC.