ABSTRACT
The Government which was formed on August 24, 1931, was in two respects entitled to describe itself "as a National" Government. On nine-tenths of the Government's proposals for balancing the Budget they were in agreement; indeed, they had themselves included most of these proposals in their own economy plans. The first was attained by an Economy Act, which provided for reductions in the pay of all Government employees, as well as of unemployed workers. The second was attained by an emergency Budget, introduced and rapidly passed in September, which imposed heavy new taxation, notably an additional sixpence on the income-tax. Finally, it was not enough that the Exchequer should assume responsibility for the annual deficit on the Unemployment Insurance Fund. On this basis a general election was precipitated less than two months after the formation of the Government, and before its work was completed.
