HC Deb 27 November 1979 vol 974 cc592-3W
Mr. Field

asked the Secretary of State for Social Services, pursuant to his reply of 23 October to the hon. Member for Birkenhead, if he will indicate the number of families subject to marginal tax rates of (a) 50 per cent. to 75 per cent., (b) 75 per cent. to 100 per cent. and (c) 100 per cent. and over into one- and two-parent families.

Mrs. Chalker

The table below sets out the latest available estimates—that is, as at December 1977—of the numbers of families with children who were then theoretically subject to "marginal tax rates" of 50 per cent. and above. Estimates such as these are theoretical because they assume that all means-tested benefits are reassessed immediately on receipt of a £1 pay rise. This would not happen in practice, since benefits such as family income supplement are awarded for 52 weeks irrespective of subsequent changes of circumstances. The figures are therefore liable to mislead. The Department has never, in fact, seen an authenticated case in which a "marginal tax relief" of 100 per cent. or more has actually operated.

It follows that extreme caution should be exercised in any use of these estimates.

ian nationals in the United Kingdom; and how many of these are students.

Sir George Young

Evidence from the labour force survey taken in May 1977 suggested that there were then some 20,000 Iranian nationals in the United Kingdom. I am informed by the Department of Education and Science that in the academic year 1977–78 the number of students from Iran, including students in private institutions, was around 12,000.