Bygone budgets: April 1975

The chancellor heralded it as an intentionally tough budget, raising taxes and cutting spending, because the social contract between the government and the unions was not working. The new leader of the Conservative party, Margaret Thatcher, called it a genuine socialist budget, consisting of "equal shares of misery for all".

Income tax
Income tax rates increased by 2%.

VAT
Higher 25% rate would be applied to most domestic electrical appliances in place of the basic rate of 8%.

Bingo
Duty doubled to 5%.

Food subsidies
Food subsidies cut, adding 0.5p to the cost of a loaf.

Duties
Beer up 2p, wine up 24p, spirits up 64p.