HC Deb 23 November 1995 vol 267 c792
16. Mr. Jacques Arnold

To ask the Chancellor of the Exchequer what priority he gives to the interests of the family in formulating taxation policy. [707]

Mr. Jack

Our main priority is to reduce the overall burden of tax so that everyone, including those with families, can keep more of what they earn.

Mr. Arnold

While it is quite right to say that there has been a significant reduction in the burden of tax on the single taxpayer, does my hon. Friend agree that that is not yet the case for the married taxpayer and his family? Now that we have scope to get off the backs of taxpayers, may I encourage my hon. Friend to speak to the Chancellor of the Exchequer about redressing the balance so that it is in favour of the family?

Mr. Jack

I thank my hon. Friend for his Budget representation. I remind him that the real take-home pay for a single-earner couple with two children on average earnings has gone up by £80 a week since 1979, that married couples will pay almost £5 a week less in tax than most single people on similar incomes, and that, in supporting the family, the Government pay about £10 billion a year. I note what my hon. Friend has had to say.

Mr. Chisholm

Is the Minister not ashamed that a staggering one family in five is now without an adult in work? Would not the best measures to help the family be the kind of investment and welfare-into-work measures proposed by the Labour party, which include a 10p starting rate of tax, rather than the Government's proposals further to enrich a minuscule number of the very wealthy by abolishing inheritance tax and capital gains tax?

Mr. Jack

I have listened to what the hon. Gentleman says. If he listens to his Front-Bench spokesmen, he will hear about their fantasy league economic approach, about the sums that do not add up. Such policies produce only fantasy jobs. We have cut unemployment by some 700,000 and, as my right hon. and learned Friend the Chancellor said only a few moments ago, investment in industry is up 12 per cent. on a year ago. That is what creates real jobs.