HC Deb 17 April 1985 vol 77 cc181-5W
Dr. McDonald

asked the Chancellor of the Exchequer if he will update the answers to the hon. Member for Birmingham, Perry Barr (Mr. Rooker) of 6 February 1984, Official Report, columns 439–42 and 15 February 1984, Official Report, columns 203–4, concerning income statistics to show net earnings at the lowest decile, median and highest decile of the earnings distribution for each year since 1978 for different household types, using constant April 1984 prices; and whether he will also give the same information for the following additional household types (a) a married couple with two children, where one partner works full-time and the other part-time and (b) a married couple with both partners in full-time work.

Mr. Rooker

asked the Chancellor of the Exchequer whether he will provide information on the net income after income tax, national insurance contributions and child benefit at (a) actual prices and (b) equivalent 1984–85 prices of typical household units (i) single, (ii) married couple, (iii) married couple with two children and (iv) married couple with four children, whose earnings from work are equivalent to the following points on the male earnings distribution (1) lowest decile, (2) median and (3) highest decile for each year since April 1978.

Mr. Moore

[pursuant to his replies, 1 March 1985, c. 329–32 and 29 March 1985, c. 370–72]: I regret that figures for April 1984 were incorrectly given. Corrected figures are as follows.

Information in the following tables is based on estimates of earnings for those in full-time work paid at adult rates, with pay unaffected by absence. Estimates are based on information from the new earnings surveys.

Income tax rates and allowances for April 1979 are those specified in the Finance Act 1979, later replaced by those announced in June 1979; for other Aprils, they are the rates and allowances for the financial year immediately following. Taxpayers are assumed to have no reliefs or allowances other than the appropriate personal allowance. National insurance contributions are at the contracted-in rate.

The calculations take no account of means-tested benefits to which those at the lowest decile may be entitled. Changes in the purchasing power of net earnings have been calculated by reference to movements in the general index of retail prices between Aprils.

Earnings after income tax, National Insurance contributions and child benefit
At current prices At constant April 1984 prices At constant prices April 1978 = 100
£ £
Single man
At the lowest decile of gross earnings
April 1978 39.35 70.71 100.0
April 1979 44.09 71.98 101.8
April 1980 53.47 71.70 101.4
April 1981 57.67 69.02 97.6
April 1982 61.95 67.76 95.8
April 1983 66.91 70.37 99.5
April 1984 71.96 71.96 101.8
At the median of gross earnings
April 1978 56.29 101.15 100.0
April 1979 63.94 104.39 103.2
April 1980 78.52 105.29 104.1
April 1981 85.56 102.39 101.2
April 1982 93.00 101.73 100.6
April 1983 100. 105.85 104.6
April 1984 109. 109.53 108.3
At the highest decile of gross earnings
April 1978 85.50 153.64 100.0
April 1979 96.89 158.17 102.9
April 1980 123. 165.78 107.9
April 1981 139.36 166.79 108.6
April 1982 151.76 166.00 108.0
April 1983 165.83 174.41 113.5
April 1984 181.85 181.85 118.4
Married man

At current prices At constant prices April 1984 prices At constant prices April 1978=100
£ £
At the lowest decile of gross earnings
April 1978 42.84 76.98 100.0
April 1979 47.90 78.20 101.6
April 1980 57.92 77.66 100.9
April 1981 62.11 74.34 96.6
April 1982 67.03 73.32 95.2
April 1983 72.73 76.50 99.4
April 1984 78.59 78.59 102.1
At the median of gross earnings
April 1978 59.78 107.42 100.0
April 1979 67.75 110.60 103.0
April 1980 82.96 111.24 103.6
April 1981 90.00 107.71 100.3
April 1982 98.08 107.28 99.9
April 1983 106.47 111.97 104.2
April 1984 116.17 116.17 108.2
At the median of gross earnings
April 1978 88.99 159.92 100.0
April 1979 100.70 164.39 102.8
April 1980 128.08 171.74 107.4
April 1981 143.81 172.55 107.6
April 1982 156.84 171.55 107.3
April 1983 171.66 180.53 112.9
April 1984 188.48 188.48 117.9
Married man with two children*
At the highest decile of gross earnings
April 1978 48.71 87.53 100.0
April 1979 55.90 91.26 104.3
April 1980 65.92 88.38 101.0
April 1981 71.61 85.70 97.9
April 1982 77.53 84.80 96.9
April 1983 84.43 88.80 101.5
April 1984 91.59 91.59 104.6
At the median of gross earnings
April 1978 65.65 117.97 100.0
April 1979 75.75 123.67 104.8
April 1980 90.96 121.97 103.4
April 1981 99.50 119.08 100.9
April 1982 108.58 118.77 100.7
April 1983 118.17 124.28 105.3
April 1984 129.17 129.17 109.5
At the highest decile of gross earnings
April 1978 94.86 170.46 100.0
April 1979 108.70 177.46 104.1
April 1980 136.08 182.46 107.0
April 1981 153.31 183.47 107.6
April 1982 167.34 183.04 107.4
April 1983 183.36 192.84 113.1
April 1984 201.48 201.48 118.2
Married man with four childree †
At the lowest decile of gross earnings
April 1978 55.15 99.11 100.0
April 1979 63.90 104.32 105.3
April 1980 73.92 99.11 100.0
April 1981 81.11 97.07 97.9
April 1982 88.03 96.29 97.2
April 1983 96.13 101.11 102.0
April 1984 104.59 104.59 105.5

At current prices At constant April 1984 prices At constant prices April 198=100
£ £
At the median of gross earnings
April1978 72.15 129.66 100.0
April 1979 83.75 136.72 105.4
April 1980 98.96 132.70 102.3
April 1981 109.00 130.45 100.6
April 1982 119.08 130.25 100.5
April 1983 129.87 136.58 105.3
April 1984 142.17 142.17 109.6
At the highest decile of gross earnings
April 1978 101.36 182.15 100.0
April 1979 116.70 190.51 104.6
April 1980 144.08 193.19 106.1
April 1981 162.81 194.84 107.0
April 1982 177.84 194.52 106.8
April 1983 195.06 205.15 112.6
April 1984 214.48 214.48 117.7
Married man with two children wife working part time ‡
At the lowest decile of gross earnings
April 1978 70.43 126.57 100.0
April 1979 80.04 130.67 103.2
April 1980 95.35 127.86 101.0
April 1981 103.57 123.96 97.9
April 1982 111.79 122.28 96.6
April 1983 122.12 128.44 101.5
April 1984 131.89 131.89 104.2
At the median of gross earnings
April 1978 87.37 157.01 100.0
April 1979 99.89 163.07 103.9
April 1980 120.40 161.44 102.8
April 1981 131.46 157.33 100.2
April 1982 142.84 156.25 99.5
April 1983 155.85 163.92 104.4
April 1984 169.47 169.47 107.9
At the highest decile of gross earnings
April 1978 116.58 209.50 100.0
April 1979 132.84 216.86 103.5
April 1980 165.52 221.86 105.9
April 1981 185.27 221.72 105.8
April 1982 201.60 220.52 105.3
April 1983 221.04 232.48 111.0
April 1984 241.78 241.78 115.4
Married both partners working full timell ‖
April 1978 72.08 129.54 100.0
April 1979 80.68 131.71 101.7
April 1980 97.47 130.70 100.9
April 1981 105.15 125.85 97.2
April 1982 113.29 123.93 95.7
April 1983 123.41 1229.80 100.2
April 1984 133.29 133.29 102.9
At the median of gross earnings
April 1978 98.76 177.49 100.0
April 1979 111.29 181.68 102.4
April 1980 137.00 183.71 103.5
April 1981 149.48 178.89 100.8
April 1982 162.60 177.86 100.2

At current prices At constant April 1984 prices At constant prices April 1978=100
£ £
April 1983 177.46 186.64 10.52
April 1984 192.88 192.88 108.7
At the highest decile of gross earnings
April 1978 146.41 263.12 100.0
April 1979 162.16 264.73 100.6
April 1980 208.60 279.70 106.3
April 1981 235.81 282.22 107.3
April 1982 254.13 277.98 105.6
April 1983 278.56 292.97 111.3
April 1984 302.48 302.48 115.0
Notes to tables:
*Both children under 11.
†Two children under 11, one child 11–15, one child over 16.
‡Assuming the wife earns the average for part time women.
‖Assuming husband and wife have earnings at the same quantile of the earnings distribution for full time males and full time females respectively.