TOPIC 9 Flashcards
Budget balance
Total income minus total expenditure: a person’s net financial situation.
Budget deficit
A situation in which outgoings exceed income.
Budget surplus
A sum of money available once all the essential expenditure in a given period, e.g a month, has been made.
Chancellor of the Exchequer
The British Cabinet minister responsible for financial and economic matters and in charge of the Treasury.
Credit history
A record of money borrowed and repaid by an individual. These records are held by credit reference agencies and providers will
check the individual’s credit history when a prospective customer applies for a borrowing product.
Discretionary expenditure
Voluntary spending on products and services that people want now, and savings towards items they aspire to buy in the future.
Duty
The tax paid on certain items, including fuel, cigarettes and alcohol.
National insurance contributions
Money is deducted from the pay of people who are employed or self-employed and used by the government to fund state pensions and other benefits.
Real terms
A value adjusted to account for changes in inflation.
Utility
An essential public service, such as electricity, gas, water and sewerage.
