§ Mr. Pardoeasked the Chancellor of the Exchequer what the investment income thresholds for pensioners and others would have to be in April 1978 to restore their real value to that of April 1973, assuming an inflation rate of 12 per cent. in the year ending April 1978; and what the cost would be.
§ Mr. Robert Sheldon,pursuant to his reply—[Official Report, 30th January 1978; Vol. 943, c. 30.]—gave the following information:
The investment income threshold comparable with £2,000 in April 1973, which applied to all taxpayers, would be £4,384.
The estimated cost of increasing the threshold to this amount for all taxpayers would be about £140 million at 1977–78 income levels.