HC Deb 08 February 1977 vol 925 cc626-7W
34. Mrs. Chalker

asked the Secretary of State for Social Services whether the poverty trap has worsened since the beginning of 1974.

Mr. Orme

I regret that estimates of the numbers of families facing high marginal tax rates are not available for the precise period requested. It is estimated, however, that at December 1974 there were about 60,000 working families with children who were theoretically subject to a marginal tax rate of 75 per cent. or over on a pay rise of £1 and that at December 1975 the corresponding figure was about 90,000. Estimates made from Family Expenditure Survey data are subject to sampling error and the difference between the estimates of 60,000 at December 1974 and 90,000 at December 1975 is not statistically significant. They are, moreover, subject to the qualifications set out in my reply to the hon. Member for Norfolk, North (Mr. Howell) on 22nd November 1976.—[Vol. 919, c. 1005–6.]