HC Deb 10 April 1978 vol 947 cc323-5W
Mr. Ralph Howell

asked the Chancellor of the Exchequer what would be the cost at 1977–78 income levels of each of the following (a) introducing unisex adult allowances of £1,250, which could be aggregated by married couples and set against the income of either spouse,

the Official Report figures showing the proportions of the gross domestic product taken up by public expenditure, by wages and salaries, by corporate profits and by fixed capital formation by manufacturing industries.

Mr. Denzil Davies

Table 1 shows the expenditure items requested as a percentage of gross domestic product, at market prices in 1976 and 1977. Figures of public expenditure are given both on the basis of the public expenditure White Paper (Cmnd. 7049) and on a national accounts definition of general Government total expenditure. Since not all public expenditure represents a direct demand by the Government sector on the resources generated by the gross domestic product, the table also shows general Government expenditure on goods and services; that is, excluding loans and transfer payments such as pensions and other social security benefits.

as a percentage of the income measure of gross domestic product at factor cost in 1976 and 1977.

together with abolition of wife's earned income allowance and of the age allowance, (b) altering tax rates to start at 15 per cent. on the first £1,000 of taxable income, and to increase by 5 per cent. on each £1,000 of taxable income thereafter, to a maximum rate of 50 per cent. and (c) replacing all existing children's benefits and allowances by a single scale of age-related child benefits, equal in value to children's supplementary benefit rates, and payable for all dependent children; and what would be the total net cost of all three changes if put into effect simultaneously.

Mr. Robert Sheldon

I will let the hon. Member have a reply as soon as possible.