2009 United Kingdom budget

2009 (2009) United Kingdom Budget

Presented	22 April 2009
Parliament	54th
Party	Labour
Chancellor	Alistair Darling
Total revenue	£496 billion‡ (29% of 2008 GDP)
Total expenditures	£671 billion (40% of 2008 GDP)
Deficit	£175 billion (10.5% of 2008 GDP)
Website	Budget 2009: Building Britain's Future
‡Numbers in italics are projections. ‹ 2008 March 2010›

Pie chart of UK central government expenditure, 2009-10.

The 2009 United Kingdom Budget, officially known as Budget 2009: Building Britain's Future, was formally delivered by Alistair Darling in the House of Commons on 22 April 2009. It introduced new tax, spending and debt rises in a financial environment of rising unemployment and recession.

Details

To stimulate the motor industry, a £2,000 scrappage allowance was announced for a car more than 10 years old, if it is traded in for a new car and if it has been in the car buyer's ownership for the previous 12 months. £1,000 of this is to be provided by the government, and £1,000 by a motor manufacturer. The scheme started about mid-May 2009 and was planned to finish at the end of February 2010; however, before it was due to end, it was extended by one month, to the end of March 2010.

For high earners, a 50% tax band was announced for earners of over £150,000 per year to start in April 2010, and tax relief on pension contributions was reduced progressively from 40% to 20% for annual incomes between £150,000 and £180,000 and to 20% above £180,000 commencing April 2011.

For savers, limits in Individual Savings Account (ISA) accounts were increased in two phases to a total of £10,200, including an additional £1,500 to the previous upper limit of £3,600 in a cash ISA. The first phase is for those over age 50 years, who can contribute additional amounts from 6 October 2009.<ref name= BBC-Aag/

Taxes

Receipts	2009-10 Revenues (£bn)
Income Tax	141
Value Added Tax (VAT)	64
National Insurance	98
Excise duties	44
Corporate Tax	35
Council Tax	25
Business rates	24
Other	67
Total Government revenue	496

Spending

Department	2009-10 Expenditure (£bn)
Social protection	189
Health	119
Education	88
Debt interest	28
Defence	38
Public order and safety	35
Personal social services	31
Housing and Environment	29
Transport	23
Industry, agriculture and employment	20
Other	72
Total Government spending	671

See also

• United Kingdom budget

References

{{reflist}}

External links

{{Wikinews|Darling announces UK budget for 2009}}

• Budget 2009: Building Britain's future, HM Treasury web page (now at The National Archives)
• {{cite news|url=http://news.bbc.co.uk/1/hi/business/8012599.stm |title=Budget 2009 speech in full |date=22 April 2009 |publisher=BBC| accessdate= 23 April 2009 | archiveurl= http://web.archive.org/web/20090424072253/http://news.bbc.co.uk/1/hi/business/8012599.stm%7C archivedate= 24 April 2009| deadurl= no}}
• "Complete Budget report" (PDF). Archived from the original (pdf) on 21 May 2009. Retrieved 23 April 2009. {{cite web}}: Unknown parameter |deadurl= ignored (|url-status= suggested) (help)
• "Pie chart showing both Departmental expenditure and revenue sources for 2009". Daily Mail. Retrieved 25 March 2010.