The question of public expenditure has proved to be one of the perennial problems for British Governments. Given forecasts of low growth and record levels of unemployment, the present Government could be faced with dilemmas of greater magnititude than ever. This new edition of Maurice Mullard's book has been carefully revised to provide students with an accessible text. It is principally concerned with explaining the political contexts in which public expenditure decisions have had to be made over the last twenty years. It examines the way in which Governments make choices according to public pressure and the fact that bargains and compromises have to be made in order to maintain political credibility.Maurice Mullard provides examples of the way in which Government policy and individual expenditure programmes have been shaped according to the political climate. The text combines theoretical framworks with policy analysis. This edition contains new chapters on Conservative and Labour politics and a section on John Major's government.