HC Deb 17 February 1982 vol 18 cc152-3W
Mr. Straw

asked the Chancellor of the Exchequer if he will publish in the Official Report tables showing the amount in current prices, and the proportion in percentages of personal income, taken by (a) income taxes and (b) national insurance contributions and (c) the aggregate of (a) and (b), for (i) a single person (ii) married couple without children both working and (iii) a married couple with two children in work, husband in work and wife not working, in each case at 500 per cent., 700 per cent., 1,000 per cent. and 2,000 per cent. of average earnings, and child benefit where appropriate, for each financial year from and including 1978–79 to 1981–82, and on a comparable basis to the answer given by him to the hon. Member for Blackburn, Official Report, 3 December 1981, column 188–192.

Mr. Ridley

[pursuant to his reply, 15 February 1982, c. 27–28]: The information is given in the following tables.

500 per cent of Average Earnings
1978–79 1979–80 1980–81 1981–82
£ per week Percentage of gross income £ per week Percentage of gross income £ per week Percentage of gross income £ per week Percentage of gross income
Gross Earnings 472.00 556.00 668.25 743.75
Single
(a) Income Tax 240.37 50.9 230.97 41.5 286.53 42.9 331.83 44.6
(b) NIC 7.80 1.7 8.77 1.6 11.14 1.7 15.50 2.1
(c) Income Tax and NIC 248.17 52.6 239.75 43.1 297.66 44.5 347.33 46.7
Married both working
(a) Income Tax 161.79 34.3 169.73 30.5 211.48 31.6 247.02 33.2
(b) NIC 15.60 3.3 17.55 3.2 22.28 3.3 31.00 4.2
(c) Income Tax and NIC 177.39 37.6 187.28 33.7 233.76 35.0 278.02 37.4
Married couple with two children
(a) Income Tax 229.55 48.1 223.47 39.6 277.64 41.0 322.94 42.9
(b) NIC 7.80 1.6 8.77 1.6 11.14 1.6 15.50 2.1
(c) Income Tax and NIC 237.35 49.7 232.24 41.2 288.78 42.7 3388.44 44.9

700 per cent of Average Earnings
1978–79 1979–80 1980–81 1981–82
£ per week Percentage of gross income £ per week Percentage of gross income £ per week Percentage of gross income £ per week Percentage of gross income
Gross Earnings 660.80 778.40 935.55 1,041.2
Single
(a) Income Tax 396.40 60.0 364.41 46.8 446.91 47.8 510.33 49.0
(b) NIC 7.80 1.2 8.77 1.1 11.14 1.2 15.50 1.5
(c)Income Tax and NIC 404.20 61.2 373.18 47.9 458.05 49.0 525.83 50.5

1978–79 1979–80 1980–81 1981–82
£ per week Percentage of gross income £ per week Percentage of gross income £ per week Percentage of gross income £ per week Percentage of gross income
Married both working
(a) Income Tax 278.17 42.1 277.97 35.7 345.78 37.0 404.97 38.9
(b) NIC 15.60 2.4 17.54 2.3 22.28 2.4 31.00 3.0
(c) Income Tax and NIC 293.77 44.5 295.51 38.0 368.06 39.3 435.97 41.9
Married couple with two children
(a) Income Tax 384.42 57.7 356.91 45.4 438.02 46.4 501.44 47.7
(b) NIC 7.80 1.2 8.77 1.1 11.4 1.2 15.50 1.5
(c) Income Tax and NIC 392.22 58.9 365.69 46.5 449.16 47.6 516.94 49.2

1000 per cent of Average Earnings
1978–79 1979–80 1980–81 1981–82
£ per week Percentage of gross income £ per week Percentage of gross income £ per week Percentage of gross income £ per week Percentage of gross income
Gross Earnings 944.00 1,112.00 1,333.50 1,487.50
Single
(a) Income Tax 631.45 66.9 564.67 50.8 687.48 51.4 778.08 52.3
(b) NIC 7.80 0.8 8.77 0.8 11.14 0.8 15.50 1.0
Income Tax and NIC 639.25 67.7 573.34 51.6 698.62 525.3 793.58 53.3
Married both working
(a) Income Tax 487.61 51.6 464.87 41.8 574.33 43.0 663.65 44.6
(b) NIC 15.60 1.7 17.55 1.6 22.28 1.7 31.00 2.1
(c) Income Tax and NIC 503.21 53.3 482.42 43.4 596.61 44.6 694.65 46.7
Married couple with two childern
(a) Income Tax 619.48 65.3 557.07 49.7 678.59 50.5 769.19 51.4
(b) NIC 7.80 0.8 8.77 0.8 11.14 0.8 15.50 1.0
(c) Income Tax and NIC 627.28 66.1 565.85 50.5 689.63 51.3 784.69 52.4

2000 per cent of Average Earnings
1978–79 1979–80 1980–81 1981–82
£ per week Percentage of gross income £ per week Percentage of gross income £ per week Percentage of gross income £ per week Percentage of gross income
Gross Earnings 1,888.00 2,224.00 2,673.00 2,975.00
Single
(a) Income Tax 1,414.97 74.9 1,231.77 55.4 1,489.38 55.7 1,670.58 56.2
(b) NIC 7.80 0.4 8.77 0.4 11.14 0.4 15.50 0.5
(c) Income Tax and NIC 1,422.77 75.4 1,240.54 55.8 1,500.52 56.1 1,686.08 56.7
Married both working
(a) Income Tax 1,262.90 66.9 1,1296.15 50.8 1,374.95 51.4 1,556.15 52.3
(b) NIC 15.60 0.8 17.54 0.8 22.28 0.8 31.00 1.0
(c) Income Tax and NIC 1,278.50 67.7 1,146.69 51.6 1,397.23 52.3 1,587.15 53.3
Married couple with two childern
(a) Income Tax 1,403.00 74.1 1,224.27 54.9 1,480.49 55.2 1,661.69 55.7
(b) NIC 7.80 0.4 8.77 0.4 11.14 4.2 15.50 0.5
(c) Income Tax and NIC 1,410.80 74.5 1,233.05 55.2 1,491.63 55.6 1,677.19 56.2

Notes:

1."Average earnings" are the average gross earnings of full—time men whose pay was unaffected by absence; all occupations, all industries aid services, Great Britain, monthly average for each financial year. The figure for 1981–82 is an illustrative estimate.

2.For households where more than one member is working, the assumption is made that the household's total earnings are 500, 700, 1,000 and 2,000 per cent. of average gross male earnings.

3.In the case of married couples where both are working, the husband is assumed to earn 60 per cent. of the joint earnings.

4.In the case of a household containing a married couple and two children, it has been assumed that only the husband is working and that both children are under 11. The gross income in this case includes child benefit.

5.All National Insurance Contributions are at the Class I standard rate for employment not contracted out of the state additional (earnings related) pension scheme.