HC Deb 02 May 1978 vol 949 cc96-8W
Mr. Ralph Howell

asked the Chancellor of the Exchequer if he will publish a comparison of the total net weekly gain, per family and per person, for a single person, a two-wage married couple, a single-wage married couple, and single-wage married couples with each of one, two, three and four dependent children, as a result of his proposed tax changes,

TOTAL NET WEEKLY GAIN
Net weekly gain Single person [...] wage married couple 1-wage married couple Married couple 1 child Married couple 2 children Married couple 3 children Married couple 4 children
£ £ £ £ £ £ £
(a) per family 0.97 [...].79 1.23 1.91 2.24 2.58 2.94
(b) per person 0.97 [...]40 0.62 0.64 0.56 0.52 0.49

In the case of the two-wage married couple it has been assumed that the wife's earnings are at least £33.37 per week, and that the couple together receive the average earnings for male manual workers.

The children's ages have been taken as one aged 13, two aged 10 and 13, three aged 10, 13 and 15, and four aged eight, 10, 13 and 15. The figures do not take account of the further increase in child benefit allowances for November 1978.

Average earnings are taken from the New Earnings Survey estimates of average weekly earnings of full-time adult male manual workers. The April 1977 figure has been updated to February 1978 by the monthly index of average earnings to produce a figure of £78.50 a week.

Mrs. Chalker

asked the Chancellor of the Exchequer if he will publish a table showing for each of the last eight years the average real weekly net income of a married man on average earnings with four children, two under 11 years and two aged between 11 and 16 years, with all figures at January 1978 prices.

Mr. Robert Sheldon

The figures are as follows:

AVERAGE REAL WEEKLY NET INCOME AT JANUARY 1978 PRICES
£
1970–71 71.80
1971–72 74.30
1972–73 71.50
1973–74 77.10
1974–75 76.90
1975–76 73.20
1976–77 72.30
1977–78 70.60
1978–79 74.50

the new rates of national insurance contribution and the April 1978 child benefit rates, assuming earnings equal to the average for male manual workers, most recent estimate, and national insurance contribution at the rate for persons not contracted out of the new pension scheme.

Mr. Robert Sheldon

The figures are as follows:

The prices index used is the General Index of Retail Prices—all items.

Average earnings are taken from the New Earnings Survey estimates of the average weekly earnings of full-time adult male workers in all occupations, manual and non-manual. For 1970–71 to 1976–77 the figure used is the average of the New Earnings Survey estimates for April at the start and finish of the tax year, and for 1977–78 the April 1977 figure has been updated to October 1977 by the monthly index of average earnings. For 1978–79 average earnings have been notionally estimated as follows: on the basis that in October 1977 a man on average earnings has not yet received an increase in the current pay round, it may be assumed that his earnings will rise by a further 10 per cent. to October 1978 in accordance with the Government's guideline. It is assumed that the retail prices index will rise by 7 per cent. over the same period.

Family allowance and child benefit, including the proposed increased from November 1978, have been included as appropriate.

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