§ Mr. SpeedTo ask the Attorney-General if he intends to prohibit mortgage lenders from offering loans to their customers on exceptionally favourable terms if more than one service is offered as part of the loan package.
(a) Payments of income tax (less child benefit), NICs and VAT by a married couple with non-earning wife as a percentage of gross earnings. Multiples of average male earnings. ½ 1 1½ 2 3 5 10 1978–79 Income Tax less Child Benefit -4.1 14.4 20.6 23.6 32.0 47.1 64.7 NICs 6.5 6.5 5.6 4.2 2.8 1.7 0.8 VAT — 2.7 2.7 — — — — 1990–91 Income Tax less Child Benefit 0.5 12.7 16.8 21.8 27.9 32.7 36.4 NICs 6.9 7.9 6.2 4.7 3.1 1.9 0.9 VAT — 5.0 5.6 — — — —
(b) Payments of income tax (less child benefit) and NICs by a married couple with wife working as a percentage of gross earnings. Multiples of average male earnings. ½ 1 1½ 2 3 5 10 1978–79 Income Tax less Child Benefit 1.1 6.4 15.2 19.7 25.9 32.9 50.6 NICs 6.5 6.5 6.5 6.5 5.4 3.4 1.7 1990–91 Income Tax less Child Benefit -9.0 8.0 13.6 16.5 20.3 27.3 33.6 NICs 4.8 6.9 7.6 7.7 6.2 3.7 1.9 Notes:
1. Average male earnings in 1990–91 are assumed to be £303.80 per week, 8½per cent. higher than in 1989–90. This represents a real increase of 33 per cent. since 1978–79.
2. NICs are assumed to be paid at the class I contracted-in rate.
3. A married man's payment of income tax do not now depend on whether he has any children. But in order to provide comparability with 1978–79 when support for children was given partly through child tax allowances, the figures show income tax less child benefit.
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§ The Attorney-GeneralThe Courts and Legal Services Bill contains proposals to prevent the tying-in to the mortgage of any other service in the domestic property market. The Government believe, however, that packages can be in the interests of the consumer and propose that they will be permitted under the legislation.