Budget 2026: Why India’s Budget Is Presented on February 1 — 3 Facts You Didn’t Know

Union Budget 2026 arrives on February 1, but it wasn’t always this way. From evening presentations to court challenges, here are three lesser-known facts about the Budget’s date and timing.

Every year, February 1 becomes one of the most closely watched dates on India’s calendar. The Union Budget is not just about numbers—it shapes government policy, affects household finances, and influences business decisions for the entire year.

But what many people may not realise is that the Budget wasn’t always presented on February 1, nor did it always begin in the morning. Over the years, both the date and timing of the Budget have changed for practical and political reasons. Here are three lesser-known facts about how and why those changes happened.

Why the Budget Date Was Changed

For decades, India followed a British-era tradition of presenting the Union Budget on the last working day of February. While this practice continued long after Independence, it created a major administrative problem.

India’s financial year begins on April 1, leaving ministries, businesses, and taxpayers with very little time to understand new tax rules, policy changes, and spending plans. Often, by the time the Budget was passed and approvals were in place, the new financial year had already started. As a result, several government schemes and policies were delayed.

To fix this issue, the government decided to move the Budget presentation earlier. In 2017, then Finance Minister Arun Jaitley presented the Union Budget on February 1 for the first time. The idea was simple: give enough time for preparation so that policies could be rolled out smoothly from April 1.

Why the Budget Is No Longer Presented in the Evening

Another interesting change relates to the timing of the Budget speech. Until 1999, the Union Budget was traditionally presented at 5 PM. This timing was again a colonial legacy, aligned with British parliamentary practices.

However, this changed when then Finance Minister Yashwant Sinha shifted the Budget presentation to 11 AM. The move was aimed at making the Budget more accessible to the public and improving media coverage.

Presenting the Budget in the morning allows people to immediately follow the announcements, understand the key highlights, and start planning without waiting until late in the evening.

Supreme Court Challenge Over Budget Date Change

The decision to shift the Budget date to February 1 was not without controversy. Soon after the announcement, a petition was filed in the Supreme Court, arguing that an early Budget could allow the government to make populist announcements ahead of state elections.

The Supreme Court, however, rejected the petition. The court observed that the Union Budget is a national exercise, meant for the entire country. It also made it clear that the timing or frequency of state elections cannot dictate how the central government functions.

With that ruling, the February 1 Budget date was firmly established.

Why These Changes Still Matter Today

As Budget 2026 approaches, these changes continue to play a crucial role. An earlier presentation gives governments, businesses, and taxpayers more breathing room to adjust to new policies. It also ensures smoother implementation of schemes from the start of the financial year.

While the Budget is often judged by tax slabs and big announcements, its timing and date are just as important—quietly shaping how effectively those decisions reach the ground.