§ Mr. ClayTo ask the Chancellor of the Exchequer by how much the value of income tax personal allowances has increased in real terms since 1979; and how this amount has been distributed to each band of income taxpayers, both in total and in amount per taxpayer.
§ Mr. MaudeSince 1978–79, the personal allowance has increased in real terms by about 27 per cent., the married man's allowance by 24 per cent. and the age-related allowances by at least 16 per cent. If, for 1991–92, the personal, married couple's and higher age-related allowances were reduced to levels equivalent to the 1978–79 allowances indexed to 1991–92, total income tax liability would be increased by some £5 billion, distributed as follows:
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Single people Husbands Wives Individual's income Total Average per taxpayer1 Total Average per taxpayer1 Total Average per taxpayer1 £ per annum £ million £ per annum £ million £ per annum £ million £ per annum 25,000–30,000 40 190 150 220 10 190 30,000–50,000 60 250 290 330 20 250 Over 50,000 20 250 110 330 10 250 TOTAL 1,710 150 2,530 230 770 140 1 Individual taxpayers liable to tax when personal allowances are reduced to their indexed 1978–79 levels.