§ Mr. Richard Wainwright
asked the Chancellor of the Exchequer what is the estimated gross cost to the Exchequer of increasing all the present personal reliefs of income tax by a percentage equivalent to the increase in the retail price index between 1 January 1980 and 31 December 1981.
§ Mr. Ridley
[pursuant to his reply, 25 January 1982, c. 226]: The estimated cost for a full year at 1981–82 income levels is £4, 050 million. This covers the cost of increasing the single, married and wife's earned income allowances, the aged single and married allowance—and the age income limit—and the additional personal allowance by 29 per cent. This is equal to the increase in the general index of retail prices between December 1979 and December 1981.