HC Deb 22 January 1974 vol 867 cc280-1W
Mr. Meacher

asked the Chancellor of the Exchequer in what way the annual take-home pay figures for 1973–74 given by him on 10th December (column 45–46) are affected by his subsequent Budget statement.

Mr. Nott,

pursuant to his reply [OFFICIAL REPORT, 17th January 1974 ; Vol. 867, c. 136], gave the following information:

The figures given in the reply of 10th December were on the basis of the tax payable in respect of the year of assessment. The 10 per cent. surcharge therefore affects the 1972–73 figures: these require to be amended as follows:

Annual Income Annual take-home pay
£
All Earned—
£8,000 5,338.25
£10,000 6,214.82
£20,000 9,236.17
£
All Investment—
£5,000 2,857.58
£8,000 3,723.07
£10 000 4,145.82
£20,000 5,125.59

Mr. Meacher

asked the Chancellor of the Exchequer, in the case of a married man with two children under 11 years of age, earning a national average wage and paying not-contracted-out national insurance contributions, what was his gross and net income, respectively, in 1945, and for each subsequent year in the case of a man in the same situation, what was his gross and net income, respectively, the annual percentage increase in the retail price index, his net real income,

Percentage change in net real income
Year Gross income Net income Annual percentage increase in Price Index Net real income (At 1945 prices) (a)Over last 12 months (b)Over 1945 level
£ £ % £ % %
1945–46 … … … 315.00 301.15 — 301.15 — —
1946–47 … … … 322.75 322.75 0.2 322.18 +7.0 +7.0
1947–48 … … … 346.00 346.00 6.7 323.58 +0.4 +7.4
1948–49 … … … 372.00 362.25 7.8 314.24 −2.9 +4.3
1949–50 … … … 384.00 370.63 2.3 314.25 0.0 +4.3
1950–51 … … … 404.00 388.90 2.9 320.57 +2.0 +6.4
1951–52 … … … 445.00 429.06 9.1 324.24 +1.1 +7.7
1952–53 … … … 481.65 467.61 6.0 333.24 +2.8 +10.7
1953–54 … … … 512.80 496.24 1.6 347.92 +4.4 +15.5
1954–55 … … … 551.80 531.45 1.9 365.76 +5.1 +21.5
1955–56 … … … 600.80 581.12 3.3 387.18 +5.9 +28.6
1956–57 … … … 639.80 616.69 4.5 393.20 +1.6 +30.6
1957–58 … … … 674.80 644.86 3.2 398.52 +1.4 +32.3
1958–59 … … … 687.80 649.54 2.7 390.69 −2.0 +29.7
1959–60 … … … 724.80 682.16 0.6 407.70 +4.4 +35.4
1960–61 … … … 776.80 725.56 1.0 429.53 +5.4 +42.6
1961–62 … … … 818.80 747.48 2.9 429.85 +0.1 +42.7
1962–63 … … … 845.80 770.27 3.8 426.83 −0.7 +41.7
1963–64 … … … 891.80 819.03 2.0 445.09 +4.3 +47.8
1964–65 … … … 962.80 869.73 3.3 457.62 +2.8 +52.0
1965–66 … … … 1,039.80 923.06 4.8 463.59 +1.3 +53.9
1966.67 … … … 1,076.80 949.02 3.9 458.62 −1.1 +52.3
1967–68 … … … 1,131.80 986.56 2.5 465.18 +1.4 +54.5
1968–69 … … … 1,238.90 1,039.08 4.7 468.00 +0.6 +55.4
1969–70 … … … 1,337.80 1,097.64 5.4 468.87 +0.2 +55.7
1970–71 … … … 1,505.80 1,206.25 6.4 484.38 +3.3 +60.8
1971–72 … … … 1,654.80 1,345.65 9.4 493.87 +2.0 +64.0
1972–73 … … … 1,908.80 1,560.33 7.1 534.66 +8.3 +77.5
1973–74 … … … 2,119.80 1,696.39 8.7 534.75 0.0 +77.6

Notes:

The earnings figures used in the calculations were the average weekly earnings of full-time adult males in manufacturing and certain other industries at October of each year, expressed at an annual rate, except for the year 1945–46 when the figures related to July 1945. An estimated figure has been used for October 1973.

The figures for gross income and net income include family allowance. Net income has been calculated on the basis of the tax rates in force for the tax years shown.

The price index used relates to calendar years and is as shown in Table 2 of the publication issued in December 1973 by the Central Statistical Office "The Internal Purchasing Power of The Pound". For the year 1945 an estimated index figure of 56–3 has been used. For 1973 the index used is the average for the 11 months to November 1973.