HC Deb 19 March 1991 vol 188 c163
Mr. Deputy Speaker

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.

3.30 pm
The Chancellor of the Exchequer (Mr. Norman Lamont)

Like, I suspect, most Chancellors, I have found the preparation of this, my first Budget, very exciting. As usual, I have read a huge amount of speculation in the press over the past few weeks about the contents of the Budget. I have also learnt a number of interesting things. For example, I was surprised to read last Wednesday that I am almost as well known as Desert Orchid—and I have not yet run in the Gold Cup.

Actually, Desert Orchid and I have much in common: we are both greys; vast sums of money ride on our performance; the Opposition hope we will fall at the first fence; and we are both carrying too much weight. The crucial difference is that Chancellors are never favourites.

I have had the advantage of serving at the Treasury under two Chancellors: my right hon. Friend the Prime Minister, who last year delivered a notable Budget for savers, and before that my right hon. Friend the Member for Blaby (Mr. Lawson). If I may make a personal observation, working for my right hon. Friend the Member for Blaby was always stimulating and exciting, and I am extremely grateful for his encouragement over the years. My admiration and respect for him remain undimmed.[ Interruption.]

Mr. Deputy Speaker

Order. I know that this is an exciting day in the House, but perhaps we should try to behave like the mother of all Parliaments.

Mr. Lamont

I intend to carry forward my predecessor's work. My central economic aim is to bring inflation down and keep it down. Beyond that, my objective is to encourage enterprise by creating a broadly based tax system that allows markets to do their job with the minimum of distortion and Government interference.

Although there is no scope this year for an overall reduction in taxes, my Budget today will include measures to help business through the recession in the short term and to encourage it to invest for the longer term. It will provide assistance for families. It will also further the process of tax reform and make some radical changes in the tax system.

As usual, I shall begin with a review of the economic situation and prospects. I shall then deal with monetary policy and public finances. Finally, I shall present my tax proposals.

The "Financial Statement and Budget Report", together with a number of press releases filling out the details of my proposals, will be available from the Vote Office as soon as I have sat down.