HC Deb 05 July 1974 vol 876 cc316-7W
Sir B. Rhys Williams

asked the Secretary of State for Social Services if she will publish a table showing the net income of couples with one, two and four children over a standard range of earnings, allowing for the social contributions and benefits if child tax were withdrawn, school meals were made free for all children, family allowances were paid at £2.50 per week for each child; and what would be the net cost.

Mr. Robert C. Brown,

pursuant to his reply [OFFICIAL REPORT, 21st June 1974], circulated the following information—

Net incomes of married couples if family allowances (FAM) payable at £2.50 for each child, child tax allowances withdrawn, and school meals free for all children:

Married couple with
Weekly Earnings 1 child (aged) 2 children (aged 8 and 12) 4 children (aged 8, 10, 12 and 14)
£ £ £ £
20 19.28 22.66 29.14
25 20.20 23.41 29.45
30 22.13 25.34 31.38
35 24.27 27.34 33.30
40 27.35 30.42 35.64
45 30.42 33.49 38.71
50 33.50 36.57 41.79
60 39.65 42.72 47.94
80 52.97 56.04 61.26
100 66.37 69.44 74.66
150 94.77 97.84 103.06
200 116.86 119.93 125.15
The estimated net additional cost is about £500m. a year.

The estimated net additional cost is about £500m. a year.

NOTES:

1. Net income is defined as earnings plus FAM, FIS, rent and rate rebates and the value of free school meals (60p); less income tax, national insurance contributions, rent, rates and work expenses (65p).

2. Assumptions made:

Rent Rates
£ £
Family with 1 child 3.55 1.36
Family with 2 children 3.57 1.37
Family with 3 children 4.28 1.64

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