§ 5. Mrs. Helen JacksonTo ask the Chancellor of the Exchequer what assessment he has made of the effect which Budgets since 1992 have had on living standards.
§ Sir George YoungHousehold income after tax and inflation is expected to rise next year to be almost 50 per cent. higher per head than in 1979. Our policies of sound finance and low inflation have created the prospect of sustained growth and of further increases in living standards.
§ Mrs. JacksonDo not the averages mask the differentials? Is it not true that since 1979 half the tax handouts from the Government—£16 billion—have gone to the top 10 per cent. of the population and that, since 1992, £2 billion has been taken from those in the bottom half of the household incomes table? Is the basic unfairness of that Tory tax policy an unfortunate mistake or part of a deliberate policy?
§ Sir George YoungWhat really matters is that the real incomes of vulnerable groups—pensioners, the unemployed and the low paid—have all gone up. The burdens of the 1993 and 1994 Budgets are spread fairly across all income groups.
§ Mr. Ian BruceHas my right hon. Friend noticed that whenever Opposition Members quote statistics on the amount of tax that is being taken from the average householder, there is always an assumption that the living standards of that average person have gone up well ahead of the rate of inflation? Would not it be sensible for them to look at what sums people take home? Have not living standards risen year by year for the average householder?
§ Sir George YoungMy hon. Friend is quite right. Tax is an important part of the picture, but it is only part of it. What matters is the total picture, which includes earnings. 1060 As I said a few moments ago, real income per head has risen by nearly £50 per week since 1979. That is the figure that really matters.