SPRING BUDGET 2002
Traditionally, the annual
Budget was something which was kept completely secret until the Chancellor stood
up to give his speech. The Treasury
team would make no statements of any sort for some time before the event, in
case anyone might be able to guess what they were planning.
But Gordon Brown has changed this completely, and there is now so much
information available in advance – consultations, early announcements, changes
which were included in last year – that it is hard to see why Budget Day
itself is necessary.
However, this year everyone predicted that there would be “interesting” changes, because there has been so much “softening up” of public opinion to make tax increases acceptable. We have been told that the health service and education need extra funding, and the need for security at home and abroad will lead to higher expenditure.
So, in spite of everything said in advance, there was still considerable uncertainty about this Budget. By how much would he put taxes up, and which taxes would be raised? These pages summarise the main changes, whether they were in the speech, in the accompanying press release, or put out beforehand, and analyses their significance.
Significant
points and further information.
AUTHORISED BY THE INSTITUTE OF CHARTERED ACCOUNTANTS IN ENGLAND AND WALES TO CARRY ON INVESTMENT BUSINESS