A motion of no confidence is primarily a statement or vote which states that a person in a superior position - be it government, managerial, etc. - is no longer deemed fit to hold that position. This may be based on said person falling short in some respect, failing to carry out obligations, or making choices that other members feel are detrimental.
In law, a motion of no confidence (alternatively vote of no confidence, censure motion, no-confidence motion, or (unsuccessful) confidence motion) is a parliamentary motion which when passed would demonstrate to the head of state that the elected parliament no longer has confidence in (one or more members of) the appointed government.
Typically, when a parliament passes a vote of no confidence in an existing government, the head of state must respond in one of two ways:
1. ask another individual, whom he or she believes will command the
confidence of parliament, to try to form a government;
2. dissolve the elected parliament and call a general election to elect a
new parliament.
In the Westminster system, the defeat of a supply bill (one that concerns the spending of money) automatically requires (by convention) the resignation of the government or dissolution of Parliament, much like a non-confidence vote, since a government that cannot spend money is hamstrung. This is called loss of supply.
A defeat on a budgetary vote is one such way by which supply can be denied.
Loss of supply is interpreted as indicating a loss of confidence in the government. Supply bills are defined as 'bills which are required by the Government to carry on its day-to-day business'.
[1] When a loss of supply occurs, a prime minister is generally required either by constitutional convention or by explicit constitutional instruction to:
1. resign immediately (allowing the majority blocking supply to form a
government) or
2. seek a parliamentary dissolution (so allowing the electorate to pass
judgment on the issue).
In the 1975 Australian constitutional crisis, the elected Senate wilfully delayed voting on a bill to authorize supply for the government, until the Prime Minister, Gough Whitlam, should call an election for the House of Representatives.
He was subsequently dismissed by the Governor-General, Sir John Kerr, on the basis of refusal to either resign or request a dissolution; his proposed course of action was instead to procure alternative supply money by non-parliamentary means.
SIDF BEWARE!
The defeat of Garret FitzGerald's government in a budget vote in Dáil Éireann in the Republic of Ireland in 1982; FitzGerald immediately sought and was granted a Dáil dissolution.
For these reasons Prime Minister Douglas squirmed out of the scheduled budget debate.
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