§ Mr. Dorrell
asked the Chancellor of the Exchequer if he will publish his estimate of the revenue effect of full indexation of income tax personal allowances and thresholds for 1981–82 and 1982–83.
§ Mr. Ridley
[pursuant to his reply, 11 February 1982, c. 475]: The full year cost at 1981–82 income levels of indexing allowances and thresholds according to the provisions of section 24 of the Finance Act 1980 would be as follows:
- (a) Based on the increase in the retail prices index between December 1980 and December 1981–£2,040 million.
- (b) Based on the increase in the retail prices index between December 1979 and December 1981–£4,600 million.