The 2007 United Kingdom Budget, officially known as Budget 2007: Building Britain's long-term future: Prosperity and fairness for families, was formally delivered by Gordon Brown in the House of Commons on 21 March 2007. It would turn out to be Brown's last Budget as Chancellor of the Exchequer, becoming Prime Minister on 27 June 2007.
The main changes were that basic rate of income tax would fall from 22% to 20% from April 2008 and that the lower starter rate of 10% would be removed. Vehicle Excise Duty on the highest-polluting vehicles would go up to £300 and to £400 from April 2008, with the least-polluting vehicles to have their duty reduced to £35. The savings limit for Individual savings account contributions would be increased to £7,200 from April 2008. The Inheritance Tax threshold would rise from £285,000 to £350,000 in 2010.
Planned resource budgets 2007–08
Department 2007–08 expenditure (£ million) Work and Pensions 132,732 Health 104,464 Education and Skills 68,060 Defence 38,986 Tax, Excise and Treasury 5,469 Communities & Local Government 28,186 Scottish Government 26,469 Northern Ireland Executive 14,667 Home Office 13,877 Welsh Government 12,785 Transport 10,150 Cabinet Office 10,090 Trade and Industry 6,015 Culture, Media and Sport 5,042 International Development 4,772 Ministry of Justice 4,086 Environment, Food and Rural Affairs 3,099 Foreign and Commonwealth Office 1,859 Northern Ireland Office 1,370 Law Officers' Departments 718 Departmental Expenditure Limit Reserve 600 Unallocated Special Reserve 400 Total resource budget 493,896
Details Taxes Receipts 2007-08 Revenues (£bn) Income Tax 157 National Insurance 95 Value Added Tax (VAT) 80 Corporate Tax 50 Excise duties 41 Council Tax 23 Business rates 22 Other 84 Total Government revenue 553
Spending Department 2007-08 Expenditure (£bn) Social protection 161 Health 104 Education 77 Debt interest 30 Defence 32 Public order and safety 33 Personal social services 28 Housing and Environment 22 Transport 20 Industry, agriculture and employment 21 Other 59 Total Government spending 587
References
External links Complete Budget 2007 Report Speech delivered 21 March 2007