HC Deb 29 April 1977 vol 930 cc463-71W
Mr. Ifor Davies

asked the Secretary of State for Social Services what is the total number of persons in receipt of attendance allowance in each of the Welsh counties in each of the past five years; and what is the relative cost for each area.

Mr. Alfred Morris

It is regretted that the information requested is not available by Welsh counties. The total figures for Wales are as follows:

1976, c. 96, showing the relative financial position in and out of work for each family grouping, on the assumption that earnings or previous earnings were £30, £40, £50, £60, £70, £80, £90 and £100 per week, respectively, assuming (a) that the initial Budget proposals are brought into force, and (b) that the conditional Budget proposals are brought into force.

Mr. Orme

, pursuant to his reply [Official Report, 19th April 1977; Vol. 930, c. 81–2], gave the following information:

An unjustifiable expenditure of staff time would be necessary to supply the information in exactly the form requested by the hon. Member. The five tables below are extracted from readily available information and give illustrative details as at April 1977 of the net weekly spending power for five family types at the earnings levels specified, both where the head of the family is employed and during weeks three to 28 of unemployment—that is, while earnings-related supplement is payable. The assumptions which have been made about the ages of the children and housing and work expenses are shown at the head of each table. Income tax refunds have not been included as part of net weekly spending power for the unemployed man for the reasons given in the reply to the hon. Member on 15th October 1976. The approximate weekly amounts of refunds,

Family type Approximate weekly tax refund (1977–78 tax allowance levels)
(a) Tax rate 35 per cent. (b) Tax rate 33 per cent.
£ £
Single person … … … … … 5.45 5.15
Married couple … … … … … 8.25 7.80
Married couple+one child (aged 3) … … 9.60 9.05
Married couple+two children (aged 4,6) … 10.75 10.10
Married couple+four children (aged 3,8,11,16) 13.70 12.90

Receipt of tax refunds may affect entitlement to free school meals, but does not affect any other means-tested benefits.

Because of the many assumptions which have had to be made, the tables relate only to the particular illustrative cases quoted, and have no general application and no validity if quoted out of context. In the unemployed situation the net income figures illustrate the maximum

TABLE 1
Single person: Rent £4.70, rates £1.85 work expenses £2.00
(a) Employed: Tax rate 35 per cent.
Earnings (£) Tax N.I. Rent rebate Rate rebate Net weekly spending power
30 … … … … 5.08 1.73 1.64 0.69 16.97
40 … … … … 8.58 2.30 — 0.09 20.66
50 … … … … 12.08 2.88 — — 26.49
60 … … … … 15.58 3.45 — — 32.42
70 … … … … 19.08 4.02 — — 38.35
80 … … … … 22.58 4.60 — — 44.27
90 … … … … 26.08 5.18 — — 50.19
100 … … … … 29.58 5.75 — — 56.12
(b) Employed: Tax rate 33 per cent.
Earnings (£) Tax N.I. Rent rebate Rate rebate Net weekly spending power
30 … … … … 4.79 1.73 1.64 0.69 17.26
40 … … … … 8.09 2.30 — 0.09 21.15
50 … … … … 11.39 2.88 — — 27.18
60 … … … … 14.69 3.45 — — 33.31
70 … … … … 17.99 4.02 — — 39.44
80 … … … … 21.29 4.60 — — 45.56
90 … … … … 24.59 5.18 — — 51.68
100 … … … … 27.89 5.75 — — 57.81
(c) Unemployed: weeks 3–28
Former earnings (£) Total U.B. Rent rebate Rate rebate Net weekly spending power
30 … … … … 17.76 4.14 1.53 16.88
40 … … … … 19.85 3.62 1.37 18.29
50 … … … … 21.13 3.30 1.26 19.14
60 … … … … 22.41 2.98 1.16 20.00
70 … … … … 23.68 2.71 1.07 20.91
80 … … … … 24.96 2.49 1.00 21.90
90, 100 … … … … 25.08 2.47 0.99 21.99

where payable, for the 1977–78 tax year, are, however, shown below, for information.

theoretical level of income replacement during unemployment, since it has been assumed that there have been no previous spells of unemployment or sickness, which would affect the amount of unemployment benefit and earning-related supplement payable. It has also been assumed that the family income supplement continues in payment throughout the first six months of unemployment.

TABLE 2
Married couple: Rent £4.70, rates £1.85, work expenses £2.00
(a) Employed: tax rate 35 per cent.
Earnings (£) Tax N.I. Rent rebate Rate rebate Net weekly spending power
30 … … … … 2.25 1.73 3.51 1.33 22.31
40 … … … … 5.75 2.30 1.59 0.67 25.66
50 … … … … 9.25 2.88 — 0.07 29.39
60 … … … … 12.75 3.45 — — 35.25
70 … … … … 16.25 4.02 — — 41.18
80 … … … … 19.75 4.60 — — 47.10
90 … … … … 23.25 5.18 — — 53.02
100 … … … … 26.75 5.75 — — 58.95
(b) Employed: tax rate 33 per cent.
Earnings (£) Tax N.I. Rent rebate Rate rebate Net weekly spending power
30 … … … … 2.13 1.73 3.51 1.33 22.43
40 … … … … 5.43 2.30 1.59 0.67 25.98
50 … … … … 8.73 2.88 — 0.07 29.91
60 … … … … 12.03 3.45 — — 35.97
70 … … … … 15.33 4.02 — — 42.10
80 … … … … 18.63 4.60 — — 48.22
90 … … … … 21.93 5.18 — — 54.34
100 … … … … 25.23 5.75 — — 60.47
(c) Unemployed: weeks 3–28
Former earnings (£) Total U.B. Rent rebate Rate rebate Net weekly spending power
30 … … … … 21.75 4.70 1.85 21.75
40 … … … … 27.85 4.05 1.50 26.85
50 … … … … 29.13 3.73 1.40 27.71
60 … … … … 30.41 3.41 1.30 28.57
70 … … … … 31.68 3.09 1.20 29.42
80 … … … … 32.96 2.78 1.10 30.29
90, 100 … … … … 33.08 2.76 1.09 30.38
TABLE 3
Married couple plus 1 child aged 3: Rent £5.30, rates £2.10 work expenses £2.00, child benefit £1.00
(a) Employed: Tax rate 35 per cent.
Earnings (£) Tax N.I. F.I.S. Rent rebate Rate rebate Free welfare milk Net weekly spending power
30 … … … 0.93 1.73 4.50 3.83 1.47 0.75 29.49
40 … … … 4.43 2.30 — 2.69 1.09 0.75 29.40
50 … … … 7.93 2.88 — 0.99 0.49 — 32.27
60 … … … 11.43 3.45 — — — — 36.72
70 … … … 14.93 4.02 — — — — 42.65
80 … … … 18.43 4.60 — — — — 48.57
90 … … … 21.93 5.18 — — — — 54.49
100 … … … 25.43 5.75 — — — — 60.42
(b) Employed: Tax rate 33 per cent.
Earnings (£) Tax N.I. F.I.S. Rent rebate Rate rebate Free welfare milk Net weekly spending power
30 … … … 0.88 1.73 4.50 3.83 1.47 0.75 29.54
40 … … … 4.18 2.30 — 2.69 1.09 0.75 29.65
50 … … … 7.48 2.88 — 0.99 0.49 — 32.72
60 … … … 10.78 3.45 — — — — 37.37
70 … … … 14.08 4.02 — — — — 43.50
80 … … … 17.38 4.60 — — — — 49.62
90 … … … 20.68 5.18 — — — — 55.74
100 … … … 23.98 5.75 — — — — 61.87
(c) Unemployed: Weeks 3–28
Former earnings (£) Total U.B. F.I.S. Rent rebate Rate rebate Free welfare milk Net weekly spending power
30 … … … 23.95 4.50 5.30 1.95 0.75 30.05
40 … … … 29.00 — 5.21 1.91 — 29.72
50 … … … 32.18 — 4.41 1.65 — 31.84
60 … … … 33.46 — 4.09 1.55 — 32.70
70 … … … 34.73 — 3.77 1.45 — 33.55
80 … … … 36.01 — 3.45 1.35 — 34.41
90, 100 … … 36.13 — 3.42 1.34 — 34.49

TABLE 4
Married couple plus 2 children aged 4 and 6: Rent £5.60, rates £2.20, work expenses £2.00, child benefit £2.50
(a) Employed: Tax rate 35 per cent.
Earnings (£) Tax N.I. F.I.S. Rent rebate Rate rebate Free school meals Free welfare milk Net weekly spending power
30 … — 1.73 6.30 4.52 1.69 0.75 0.75 34.98
40 … 3.29 2.30 1.30 3.30 1.30 0.75 0.75 34.51
50 … 6.79 2.88 — 1.82 0.78 — 0.75 36.38
60 … 10.29 3.45 — — 0.18 — — 39.14
70 … 13.79 4.02 — — — — — 44.89
80 … 17.29 4.60 — — — — — 50.81
90 … 20.79 5.18 — — — — — 56.73
100 … 24.29 5.75 — — — — — 62.66
(b) Employed: Tax rate 33 per cent.
Earnings (£) Tax N.I. F.I.S. Rent rebate Rate rebate Free school meals Free welfare milk Net weekly spending power
30 … — 1.73 6.30 4.52 1.69 0.75 0.75 34.98
40 … 3.10 2.30 1.30 3.30 1.30 0.75 0.75 34.70
50 … 6.40 2.88 — 1.82 0.78 — — 36.02
60 … 9.70 3.45 — — 0.18 — — 39.73
70 … 13.00 4.02 — — — — — 45.68
80 … 16.30 4.60 — — — — — 51.80
90 … 19.60 5.18 — — — — — 57.92
100 … 22.90 5.75 — — — — — 64.05
(c) Unemployed: Weeks 3–28
Former earnings (£) Total U.B. F.I.S. Rent rebate Rate rebate Free school meals Free welfare milk Net weekly spending power
30 … 26.50 6.30 5.40 1.97 0.75 0.75 36.37
40 … 29.00 1.30 5.60 2.17 0.75 0.75 34.27
50 … 34.73 — 4.92 1.82 — — 36.17
60 … 36.01 — 4.60 1.72 — — 37.03
70 … 37.28 — 4.28 1.61 — — 37.87
80 … 38.56 — 3.96 1.51 — — 38.73
90, 100 … 38.68 — 3.93 1.50 — — 38.81
TABLE 5
Married couple plus 4 children aged 3, 8, 11 and 16: Rent £6.30, rates £2.50, work expenses £2.00, child benefit £5.50
(a) Employed: Tax rate 35 per cent.
Earnings (£) Tax N.I. F.I.S. Rent rebate Rate rebate Free school meals Free welfare milk Net weekly spending power
30 … — 1.73 9.80 5.99 2.21 2.25 0.75 43.97
40 … 0.33 2.30 4.80 4.74 1.81 2.25 0.75 46.42
50 … 3.83 2.88 — 3.55 1.42 2.25 0.75 45.96
60 … 7.33 3.45 — 1.85 0.82 — 0.75 47.34
70 … 10.83 4.02 — — 0.22 — — 50.07
80 … 14.33 4.60 — — — — — 55.77
90 … 17.83 5.18 — — — — — 61.69
100 … 21.33 5.75 — — — — — 67.62
(b) Employed: Tax rate 33 per cent.
Earnings (£) Tax N.I. F.I.S. Rent rebate Rate rebate Free school meals Free welfare milk Net weekly spending power
30 … — 1.73 9.80 5.99 2.21 2.25 0.75 43.97
40 … 0.31 2.30 4.80 4.74 1.81 2.25 0.75 46.44
50 … 3.61 2.88 — 3.55 1.42 2.25 0.75 46.18
60 … 6.91 3.45 — 1.85 0.82 — 0.75 47.76
70 … 10.21 4.02 — — 0.22 — — 50.69
80 … 13.51 4.60 — — — — — 56.59
90 … 16.81 5.18 — — — — — 62.71
100 … 20.11 5.75 — — — — — 68.84

(c) Unemployed: Weeks 3–28
Former earnings (£) Total U.B. F.I.S. Rent rebate Rate rebate Free school meals Free welfare milk Net weekly spending power
30 … 31.60 9.80 5.59 2.08 2.25 0.75 48.77
40 … 31.60 4.80 6.30 2.48 2.25 0.75 44.88
50 … 36.24 — 6.30 2.49 2.25 0.75 44.73
60 … 41.11 — 5.67 2.10 0.75 — 46.33
70 … 42.38 — 5.35 2.00 — — 46.43
80 … 43.66 — 5.03 1.90 — — 47.29
90, 100 … 43.78 — 5.00 1.89 — — 47.37