§ Mr. Edgeasked the Chancellor of the Exchequer if he will list in detail the Government's proposals for achieving the Government's long-term economic objective of bringing about an increase in the standard of living.
§ Mr. DellImprovement of the standard of living is a major objective of Government economic policy. Its achievement depends upon the successful implementation of a wide range of policies, in particular those dealing with inflation, and those covering the full and efficient use of all national resources, greater and more productive investment, and a sound 187W balance of payments. For detailed statements of the Government's policies in these areas I would refer my hon. Friend to the White Paper "The Attack on Inflation", Cmnd 6151, and to the April Budget Statement.—[Vol. 890, c. 273.]
§ Mr. Adam Butlerasked the Chancellor of the Exchequer if he will detail the assumptions on which he bases his estimate of a 1¾ per cent. drop in living standards between the third quarters of 1975 and 1976 for a married man with non-working wife and two children; and if he will give similar estimates for the drop between the second quarters and the fourth quarters, respectively, of the same two years.
§ Mr. DellThe estimate quoted shows the implications of the Chancellor's targets for pay and prices for the real disposable income of a married man, on average industrial earnings, with a nonworking wife and two children under 11, over the year beginning in the third quarter of 1975. Average earnings are those estimated for adult male manual workers in the third quarter of this year. Gross pay is assumed to rise by £6 a week, and the retail price index by 10 per cent. The calculations assume no change in existing tax or national insurance regulations. Household income consists only of the earnings of the head, and family allowances; the tax calculations assume personal tax allowances only.
Figures are not available on a comparable basis for other periods.