HC Deb 20 December 1989 vol 164 c239W
Mr. Raison

To ask the Chancellor of the Exchequer (1) what is his best estimate of the saving from abolishing the married couple's allowance for non-pensioners in 1990;

(2) what is the expected cost of the married couple's allowance in 1990–91.

Mr. Major

The direct revenue cost of the married couple's allowance in a full year at 1990–91 levels of income is estimated to be £5 billion. If the allowance were to be given only to married couples where either the husband or wife was aged 65 or over, there would be a saving of about £4.5 billion.

Estimates are based on a projection of the 1987–88 survey of personal incomes, and, in line with Autumn Statement forecasts, assume 7.5 per cent. indexation of allowances and the basic rate limit; all estimates are provisional.