§ 36. Dr. David Owenasked the Chancellor of the Exchequer what is the estimated cost of Income Tax and Surtax relief for children in the year 1967–68.
§ Mr. CallaghanAbout £630 million.
§ Dr. OwenIs my right hon. Friend aware that his reply shows an increase of over £50 million, and that the previous year showed an increase of £80 million? Is not this a very strange inequality when one considers that family allowances have remained unchanged since 1956?
§ Mr. CallaghanNo, Sir. I do not think that tax allowances, which determine the residual sum that is left to a man after he has earned his income, can be compared with an allowance that is given by the State out of the general taxation.