What is HM Treasury?

Published by Thomas Herold in Banking, Economics, Laws & Regulations

'HM Treasury' is explained in detail and with examples in the Economics edition of the Herold Financial Dictionary, which you can get from Amazon in Ebook or Paperback edition.

HM Treasury stands for Her Majesty’s Treasury. This is the United Kingdom’s finance and economic ministry. It keeps control over the public spending and lays out the direction for the economic policy of Great Britain. Among its important mandates is to work towards a sustainable and strong level of economic growth.

The HM Treasury of today dates back to the time of the Norman Conquest in 1066. The kingdoms of the Anglo Saxons also had Treasuries which collected taxes and handled expenditures before this nation altering invasion occurred. The Danegeld was a tribute levied on Anglo Saxons to pay the Vikings to leave or not attack. Britain’s first official Treasurer was likely one “Henry the Treasurer.”

He held land from King William located near Winchester which proved to be the location for the royal treasuries of both late Anglo Saxon and Norman Britain. Henry is believed to have functioned as William the Conqueror’s treasurer. He is mentioned in the Domesday Book, the very first systematic tax assessment of the entire nation which the Treasury carried out at the time.

Eleven Downing Street is the home of HM Treasury. In 1684, Mr. Downing obtained the permission from King Charles II to construct and name his new Downing Street development at St. James Park. These houses were finished in 1686. Even though Number 11 Downing Street did not become the official residence of the head of Treasury the British Chancellor of the Exchequer until 1828, a precedent had been set a generation earlier.

In 1806 and 1807, Lord Henry Petty dwelt there while he held the position as Chancellor of HM Treasury. Chancellors who have since elected to live over their office have experienced a house that is not only historic for Britain, but unique and quite comfortable as a home as well.

HM Treasury bears many important responsibilities today. They handle all aspects of public spending. This includes the pay for pensions and public sectors, spending of the various ministries, welfare policy, capital investment, and the AME annually managed expenditure. They carry out a number of functions in financial services. Among these responsibilities are to ensure the City of London remains competitive, to guarantee financial stability in the UK, and to regulate banking and other financial services throughout the nation.

Treasury also maintains responsibility for overseeing the various taxes in Britain. This includes indirect, direct, property, business, corporation, and personal taxes. The ministry handles encouraging private sector involvement and investment in national infrastructure and delivers infrastructure projects throughout the public sector. Finally, they must make certain that the growth of the British economy is ultimately both steady and sustainable.

In carrying out these critical responsibilities, HM Treasury has a range of priorities. They work towards strong growth which is sustainable. They attempt to utilize the tax money responsibly. Their goal is to rebalance the national economy while reducing the deficit. They strive to create a fairer and simpler tax system for all.

Treasury looks to develop safer and stronger British banks. They work towards levying the most competitive corporate taxes possible. They help to increase the ease and access to financial services for British consumers. Finally, they seek to better the financial sector’s regulation so that it will safeguard both the national economy and members of the British public.

HM Treasury has its headquarters in London. They also maintain regional offices in Edinburgh, Scotland and Norwich, England.

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The term 'HM Treasury' is included in the Economics edition of the Herold Financial Dictionary, which you can get from Amazon in Ebook or Paperback edition.