HC Deb 05 February 1980 vol 978 c132W
Mr. Ernie Ross

asked the Chancellor of the Exchequer what is the annual income after tax of those currently earning average wages in the following groups (a) manual (b) non-manual and (c) all occupations.

Mr. Peter Rees

The figures depend on the level of tax allowances. For a single man and a married man with no allowances after tax other than the ordinary personal allowance, the figures are:

remained at their 1976–77 level, what would have been the revenue forgone in each of the following years; 1977–78, 1978–79, 1979–80 and 1980–81; and what would have been the total revenue lost over the whole period.

Mr. Peter Rees

The costs would have been about £490 million on 1977–78 incomes, £810 million on 1978–79 incomes and £1,200 million on 1979–80 incomes. The cost over the three-year period would therefore have totalled about £2,500 million. The cost in 1980–81 would depend on income levels and tax rates in that year. In so far as the tax on the income of a year is not wholly received in that year, the effect on receipts of tax would be rather less than the figures quoted.