Your arguments are overwhelming. You’re obviously right — and the answer is No. - Joel Barnett, Baron Barnett

As chief secretary, I was having a terrible time doing what I didn’t go into politics to do — cutting public expenditure. And I was having meetings with every departmental minister about their budget. They all wanted more money — Tony Benn and Barbara Castle more than most. I decided that I could get rid of three Cabinet ministers — the secretaries of state for Scotland, Wales and Northern Ireland — if I could settle on a formula for their budgets. So I set up this method for allocating public expenditure that the Cabinet then agreed to.

We know that you have a very arduous duty ahead of you. We hope you enjoy the best of health; if you go on looking as attractive as you do tonight, it will be very beneficial.

The real problem is that now no politician wants to tackle it. The Barnett Formula saves people trouble. It saves prime ministers worrying. That’s the way with politics… Here we are, about to make the wrong decision again.