HC Deb 06 July 1977 vol 934 cc570-1W
Mr. Ralph Howell

asked the Chancellor of the Exchequer if he will publish a table showing the net income after tax, national insurance contribution and family allowance or child benefit of a married couple with two children and a married couple with four children as a percentage of the net income of a single person in 1960–61 and in 1977–78. assuming earnings equal to 50 per cent. and 100 per cent. of average male manual earnings in each case.

Net income as a percentage of the corresponding net income of a single person for
Year Earnings (a)Married couple with 2 children (b)Married couple with 4 children
1960–61 Half x Average earnings 113.1 129.4
Average earnings 117.8 130.0
1977–78 Half x Average earnings 127.5 145.2
Average earnings 115.2 125.6
Net income is earnings plus family allowance or child benefit less income tax and national insurance contributions.
For 1960–61 average earnings are taken from the Department of Employment's survey in April 1960 of the average earnings of full-time adult male manual workers. For 1977–78 the April 1976 New Earnings Survey estimate of the average earnings of similar workers has been updated to April 1977 by the monthly index of average earnings.
The figures for 1977–78 assume the full implementation of the Budget proposals.

Mr. Ralph Howell

asked the Chancellor of the Exchequer if he will publish a table showing the effect of tax changes and of phases 1 and 2 of the incomes policy, on the net income after tax, national insurance contribution and family allowance or child benefit, but excluding means-tested benefits, of a

Gross weekly earnings in April 1975 Net weekly income
(a)single person (b)Married couple with 2 children not over 11
April 1975 April 1976 April 1977 April 1975 April 1976 April 1977
£ £ £ £ £ £ £
25 19.41 23.32 25.62 25.12 30.34 33.11
35 25.36 29.24 31.75 31.10 36.26 39.24
45 31.31 35.17 37.91 37.05 42.19 45.40
55 37.26 41.09 44.34 43.00 48.11 51.83
65 43.21 47.02 50.77 48.95 54.04 58.26
For the purposes of the calculations it has been assumed that gross weekly earnings were increased by £6 between April 1975 and April 1976, and by 5 per cent., subject to a minimum increase of £2.50 and a maximum increase of £4, between April 1976 and April 1977.
Net weekly income is gross earnings plus family allowance or child benefit less income tax and national insurance contributions. For April 1977 the figures assume full implementation of the Budget proposals.