§ 61. Mr. John Hannamasked the Chancellor of the Exchequer if, in order to improve business liquidity, he will take steps to ensure the speeding-up of settlement of accounts incurred by Government Departments.
§ Mr. Maurice MacmillanI am not aware that Government Departments delay payment of accounts. The
NET EFFECT (£ PER ANNUM) ON INCOME OF MARRIED COUPLE WITH NUMBER OF CHILDREN SHOWN Earnings 0 1 2 3 4 £28 (average weekly earnings) … … +8 +12 +20 +29 +37 £15 … … +4 +89 +104 +130 +156 £20 … … +4 +17 +34 +49 +77 £25 … … +6 +10 +19 +27 +53 £30 … … +8 +12 +20 +29 +37 £35 … … +1 +5 +14 +22 +31 £40 … … -5 -1 +7 +16 +24 Notes: (1) The figures are averages for the family types and earnings levels specified—the effect of the social service charges will vary with individual circumstances. (2) The youngest child in each family is assumed to be under 5 and the other children, if any, between 5 and 11. (3) The husband is assumed to earn the whole of the amount shown and in addition to receive family allowances where appropriate.
§ Mr. Arthur Lewisasked the Chancellor of the Exchequer to what extent, under the tax laws for the year ending April, 1971, a man and wife with normal allowances paid tax and surtax on an earned income of £17,500 per annum; what will be the taxes paid under the 1971 Budget proposals; and if he will give similar details for a couple with an earned income of £20,000 per annum.
§ Mr. Patrick JenkinAssuming, that the husband earns the whole of the income and that 1970–71 surtax rates continue for 1971–72 the desired figures are:
1970–71 1971–72 £ £ £ 17,500 … 10,284.81 8,721.02 20,000 … 12,536.31 10,553.83 NOTE. The reduction in tax for 1971–72 includes the effect of the reduction in the standard rate to 38.75 per cent. under the
90Wmeasures announced in the Budget Statement should ease business liquidity problems.