HC Deb 28 April 1983 vol 41 cc982-3
6. Sir Anthony Meyer

asked the Chancellor of the Exchequer what percentage of the single person's allowance and the married man's allowance has been represented by the single person's age allowance and the married couple's age allowance in each of the past three years.

Mr. Ridley

In each of the past three years the single person's age allowance has been about 32 per cent. higher than the single person's allowance, and the married age allowance has been about 35 per cent. higher than the married man's allowance.

Sir Anthony Meyer

Is my right hon. Friend aware that retired people who live on non-index-linked pensions or accumulated savings from a lifetime of hard work have been hit harder by the wicked interplay of inflation and means-tested benefits than any other group in the community, and that they have more reason to be grateful to my right hon. and learned Friend the Chancellor for what he has done for them as revealed in those figures? Will my right hon. Friend urge the Chancellor of the Exchequer to continue in that direction in his next Budget?

Mr. Ridley

I am grateful to my hon. Friend. I agree with him about the importance of reducing inflation. By November the state pension will have increased by 75 per cent. against an expected rise in prices of 70 per cent. I also draw my hon. Friend's attention to the fact that although we have increased the national insurance contribution, on the whole income tax has not been increased. That has been a major benefit to pensioners, who do not pay national insurance contributions.