§ 39. Mr. John Hallasked the Chancellor of the Exchequer what the cost to the revenue would be if the starting point for Surtax were raised to £3,000, £4,000, 1216 and £5,000, respectively; and what would be the cost if these raised levels were applied to earned income only.
§ Sir E. BoyleTo move all starting points, income bands and rates of Surtax up the income scale by £1,000, £2,000 or £3,000 would cost £56 million. £89 million or £110 million, respectively, in a full year. To apply the new rates to earned income only would cost £30 million, £44 million or £54 million, respectively, assuming that in the case of a mixed income the earnings would be treated as the bottom slice.
§ Mr. HallAs a married man with two children who earned £2,000 a year in 1938 would require to earn nearly £9,000 to be in the same place today, and £51,000 if he had been earning £5,000 in 1938, is it not time to raise the Surtax level or to have a drastic reform in the taxation system?
§ Sir E. BoyleI cannot anticipate my hon. and learned Friend's Budget statement.