§ Mr. George Cunninghamasked the Chancellor of the Exchequer what would be the current value of the personal allowances of single and married persons, respectively, if they were equated with the current levels of supplementary benefits requirements, assuming no special additions to the basic requirements and applying the national average for the rent and rates element; and what would be the cost to the Revenue of raising personal allowances to these levels, as compared with the personal allowances applying in 1975–76.
§ Mr. Robert SheldonIn order to equate the personal tax allowances with the current levels of ordinary rate supplementary benefit scales plus the average rent and rates additions expressed as annual rates, it would be necessary to raise the single person's tax allowance to £748 and the married person's allowance to £1,062. For persons aged 65 and over the present age allowances are already higher than the corresponding long-term supplementary benefit scales plus rent and rates additions. The estimated full-year cost of such increases at 1975–76 incomes and tax rates is about £750 million on the assumption that the wife's earned income allowance would be increased by the same amount as the single person's allowance.