To ask the Chancellor of the Exchequer if he will list for each Budget since 1965, and for the first fiscal year for which each Budget is designed (a) the implied or actual Budget forecast for the general government financial deficit as a proportion of gross domestic product and (b) the net fiscal effect of all Budget tax measures on the economy, expressed as a positive or negative percentage of gross domestic product. [35375]
The following table sets out the information requested, where available. Forecasts for the general government financial deficit were not published before the 1970 Budget. The net fiscal effect of Budget tax changes was not calculated on the present indexed basis prior to the 1982 Budget.
| Budget forecasts of general government financial deficit and the net fiscal effect of Budget tax measures on the economy expressed as a per cent, of gross domestic product | |||
| Percentage of GDP1 | |||
| Date of Budget | Forecast for year | GGFD | Net fiscal effect of Budget tax measures2 |
| April 1970 | 1970–71 | 3.4 | — |
| March 1971 | 1971–72 | 1.0 | — |
| March 1972 | 1972–73 | 1.7 | — |
| March 1973 | 1973–74 | 2.6 | — |
| March 1974 | 1974–75 | 0.0 | — |
| November 1974 | 1974–75 | 3.8 | — |
| April 1975 | 1975–76 | 5.1 | — |
| April 1976 | 1976–77 | 5.8 | — |
| March 1977 | 1977–78 | 3.6 | — |
| April 1978 | 1978–79 | 3.7 | — |
| June 1979 | 1979–80 | 2.9 | — |
| March 1980 | 1980–81 | 2.4 | — |
| March 1981 | 1981–82 | 1.5 | — |
| March 1982 | 1982–83 | 1.6 | -0.6 |
| March 1983 | 1983–84 | 2.6 | -0.5 |
| March 1984 | 1984–85 | 2.6 | 0.0 |
| March 1985 | 1985–86 | 2.8 | -0.2 |
| March 1986 | 1986–87 | 3.4 | 0.3 |
| March 1987 | 1987–88 | 2.4 | -0.6 |
| March 1988 | 1988–89 | 0.5 | -0.8 |
| March 1989 | 1989–90 | -1.1 | -0.4 |
| March 1990 | 1990–91 | -0.2 | 0.1 |
| March 1991 | 1991–92 | 2.0 | 0.1 |
| March 1992 | 1992–93 | 5.2 | -0.4 |
| March 1993 | 1993–94 | 8.7 | 0.1 |
| November 1993 | 1994–95 | 6.3 | 0.2 |
| November 1994 | 1995–96 | 3.7 | -0.2 |
| 1 GDP figures: CSO outturns up to 1994–95 and HMT forecast for 1995–96. | |||
| 2 The net effect of tax changes from an indexed basis. [Yield(+)/cost(-)]. | |||
To ask the Chancellor of the Exchequer if he will make a statement on budget deficit measures used by the United Kingdom's European partners. [34198]
[holding answer 18 July 1995]: The United Kingdom's European partners use a variety of budget deficit measures. Most are calculated on a cash basis. A common standardised measure of general government financial deficit is used in the excessive deficits procedure as set out in article 104c and the associated protocol of the treaty on European Union as amended as Maastricht.