Publications / Guides

How does Parliament approve Government spending? A procedural guide to the Estimates process

Pound coins
Pound coins

Estimates are the Government's spending plans which are presented to Parliament for approval every year.

Each Government department produces its own annual Estimate, and HM Treasury compiles and publishes them together in a single Estimates report for presentation to Parliament.

Government requests to Parliament for funds for departments are made in at least two and sometimes as many as four stages throughout the year, in a process known as the 'Estimates cycle'.

Given the dependence of all forms of government activity on the availability of public finances, the Estimates process underpins all other forms of accountability and goes to the heart of the relationship between Parliament and Government.

Rishi Sunak at the Despatch Box. ©UK Parliament/Jessica Taylor

What is the Estimates cycle?

Multi-year Spending Reviews set out headline spending plans for each Government department. Drawing on the plans outlined in the Spending Review, the Government then makes formal requests to Parliament for funds for departments for the financial year ahead. These requests are made in at least two and sometimes as many as four stages throughout the year in a process known as the 'Estimates Cycle'.

House of Commons Select Committee session. ©UK Parliament/Catherine Bebbington

How does Parliament debate Government spending plans?

Departmental Estimates are scrutinised by departmental select committees in the House of Commons. Three days (other than Fridays) are then allotted in each parliamentary session for the consideration of Estimates in the Commons Chamber. These are known as Estimates Days. Any MP can bid, via the Backbench Business Committee, for an Estimates Day debate on one of the departmental Estimates.

House of Commons chamber. ©UK Parliament / Jessica Taylor

How does Parliament approve Government spending plans?

Approval of the Estimates (Main or Supplementary) comes first in the form of a Supply resolution. However, such resolutions have political force, but they are not law. Consequently, legislation is also required - in the form of a Supply and Appropriation Bill - before the departmental expenditure set out in the Estimates is legally authorised by Parliament.

The House of Commons, 1833, painting by Sir George Hayter. ©National Portrait Gallery, London

Why does Parliament approve Government spending?

The legal basis for parliamentary control of Crown (i.e. Government) expenditure dates back to the Glorious Revolution of 1688-89 and Parliament’s decision to legalise the standing army but provide its expenses only for 12 months in advance. Over time, this principle – that expenses be granted only for the year ahead – was extended to other areas of government expenditure until, by 1830, all civil government expenditure was provided on this basis. Six key principles or rules now govern what has become known as the Estimates process.

Photo of pound notes. ©Adobe Stock/kamui29

What is a Money Bill?

A Money Bill is defined in Section 1(2) of the Parliament Act 1911. It is a public bill which in the opinion of the Speaker of the House of Commons contains only provisions dealing with national taxation public money or loans. If a bill is certified as a Money Bill by the Speaker, and is passed by the House of Commons, it will become law after one month, with or without the approval of the House of Lords.

18:18pm, 7 March 2023

Hansard Society (2023), The Estimates: A procedural and constitutional guide, (Hansard Society: London)

News / Parliament Matters Bulletin: What’s coming up in Parliament this week? 17-21 November 2025

The assisted dying bill will have its second Committee Stage sitting in the Lords. Home Office, Transport, Energy and Northern Ireland Ministers will face oral questions in the Commons. MPs will scrutinise the Northern Ireland Troubles Bill, the Border Security, Asylum and Immigration Bill, and the Biodiversity Beyond National Jurisdiction Bill. Backbench MPs will lead debates on International Men’s Day and on Injury in Service Awards. In the Lords, scrutiny continues of the Crime and Policing Bill, the Employment Rights Bill, and the Tobacco and Vapes Bill. Select Committees will question the Work and Pensions Secretary and several junior ministers and will examine issues such as children’s care, digital ID, home ownership, cryptocurrency, fiscal policy, and clinical negligence.

16 Nov 2025
Read more

News / Assisted dying bill - special series #18: A conversation with the Bill’s sponsor, Lord Falconer of Thoroton - Parliament Matters podcast, Episode 115

In this episode, we are joined by Lord Falconer, the Labour Peer steering the Terminally Ill Adults (End of Life) Bill through the House of Lords. Although he has attempted to legislate for assisted dying several times before, this is the first occasion he is working with a bill that has already cleared the House of Commons. In a wide-ranging conversation, he explains why this issue has driven him for more than a decade and assesses the Bill’s prospects of becoming law. Please help us by completing our Listener Survey. It will only take a few minutes.

14 Nov 2025
Read more

Briefings / Assisted dying - The Terminally Ill Adults (End of Life) Bill: Rolling news

Stay informed with updates and analysis on the Terminally Ill Adults (End of Life) Bill as it moves through Parliament. Learn about the debates, procedures, decisions, and key milestones shaping the assisted dying legislation.

15 May 2025
Read more

Blog / Assisted dying bill: How does Committee Stage work in the House of Lords?

The Terminally Ill Adults (End of Life) Bill – the Bill to legalise assisted dying – will begin its Committee Stage in the House of Lords on Friday 14 November. In this blog, we explain how Committee Stage works in the House of Lords, including how the House debates and decides on amendments, and how long this stage is likely to take.

11 Nov 2025
Read more

Briefings / The assisted dying bill: A guide to the legislative process in the House of Lords

Having passed through the House of Commons, the Terminally Ill Adults (End of Life) Bill - the Bill to legalise assisted dying in England and Wales - must now go through its legislative stages in the House of Lords. This guide explains the special procedures for legislation in the House of Lords, and for Private Members’ Bills in particular. It answers some frequently asked questions, including how Peers might block the Bill, and gives an explanation of each stage of the process, from Second to Third Reading.

10 Sep 2025
Read more