§ 33. Sir T. Moore
asked the Chancellor of the Exchequer the net income derived from an earned gross income of £1,000 a year in March, 1914, March, 1939, March, 1951, and March, 1952. respectively.
§ Mr. R. A. Butler
For a married man with two children, £962, £888, £831 and £833, respectively. The figure for March, 1952, does not take account of my Budget proposals which came into operation only from 6th April: the corresponding figure under my Budget is £888.
§ Sir T. Moore
Does not this confirm the wisdom of my right hon. Friend's policy in seeking to reduce the cost of living? Does it not also show the necessity for reducing the standard rate of Income Tax as soon as possible?
§ Mr. Gaitskell
In view of that supplementary question, will the right hon. Gentleman tell the House by how much the cost of living has been reduced?
§ Mr. Butler
I have stated with the utmost frankness the effect of the Budget on the cost of living. I am glad to have, in the person of my hon. and gallant Friend, a witness to the wisdom of the Chancellor's policy.
§ Mr. J. Hynd
Is the Chancellor aware that there are still a few workers who are under the £1,000 a year level? Would he give comparable figures for them?
§ Mr. Butler
I am glad to say that in the case of some 16 million persons and their dependants there will be a considerable reduction in operation from the end of this week or thereabouts. That would seem to be a very satisfactory state of affairs, and I hope that it will have its effect on the cost of living.