HC Deb 19 November 1973 vol 864 cc339-40W
Mr. Meacher

asked the Chancellor of the Exchequer what would be the annual Exchequer gain or loss from the abolition of both family allowances and child tax allowances and the replacement by a child endowment cash benefit, for each child up to age 18 years including the first, of, respectively, £1.50, £2, £2.50, £3, and £3.50 per week, respectively, taxed and tax-free in each case.

Mr. Nott

The figures are as follows:

Child credit
Child credit Taxed Untaxed
£ per week £m. £m.
1.50 -175 +160
2.00 +115 +560
2.50 +405 +905
3.00 +680 +1,350
3.50 +965 +1,750
Net annual cost (+) or yield (-).

The calculations have been made on the basis that credit would not be paid for children over 16 who are in employment.