HL Deb 08 February 1972 vol 327 c1128WA

asked Her Majesty's Government:

Whether it is possible that a married man with two children now earning£17 to£22 per week will suffer a reduction in net income if his gross earnings increase by a few pounds, because of the interaction of income tax, national insurance, family income supplement and rent rebates or allowances; and whether they will inquire into the whole cats-cradle of financial transactions between the individual and the community and make a statement to Parliament.


The results would vary considerably according to the precise circumstances of the particular family. A reduction in net income is theoretically possible in certain circumstances, but such cases, if they were found in practice, would be highly exceptional. The effects on incomes of possible changes in the levels of income tax, national insurance contributions and the benefits listed are kept under regular review.