HC Deb 23 March 1978 vol 946 c738W
Mr. Ralph Howell

asked the Chancellor of the Exchequer, further to his reply in Hansard, 16th February 1978, column 355, to the hon. Member for Norfolk, North, why the estimated cost of non-taxation of short-term benefits is only £55 million higher in 1977–78 than in 1975–76, despite the great increase in taxation and in unemployment which has taken place during the intervening two years.

Mr. Robert Sheldon

Since the estimates of the costs for 1975–76 were made in 1976 the information upon which the estimates were based has been revised. It is now estimated that the potential revenue yield on short-term benefits, based on expenditure in 1975–76 in Great Britain calculated at benefit rates that applied during that year, are as follows:

£million
Unemployment Benefit 140
Sickness Benefit 130
Industrial Injury Benefit 15
Maternity Allowance 15

These remain approximate figures, since the information on which to base precise calculations is not available. The figures for 1977–78 show an increase of about £115 million.

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