Below is the text of Mr Major’s written Parliamentary Answer on Public Expenditure on 6th December 1988.
Mr. Butterfill To ask the Chancellor of the Exchequer what is the current ratio of public expenditure to gross domestic product: and if he will make a statement.
Mr. Major The Autumn Statement gave a forecast of 39.75 per cent. for the ratio of general Government expenditure (excluding privatisation proceeds) to gross domestic product in 1988-89. This ratio has declined from a peak of nearly 47 per cent. in 1982-83 and is now at its lowest level since 1966-67. It is expected to decline further to just under 39 per cent. in 1991-92.