§ Mr. Ralph Howellasked the Chancellor of the Exchequer what single rate of non-transferable tax allowance could be introduced at an extra cost to the Exchequer of £1.5 billion if all the existing personal allowances were abolished and married couples were taxed as individuals.
§ Mr. Moore[pursuant to his reply, 5 March 1985]: An increase in the single allowance of £770 to £2,775 would have a direct revenue cost of about £1.5 billion in a full year at 1984–85 levels of income, if all other allowances were abolished. The estimate assumes that husbands and wives would be taxed as individuals and unused allowances would not be transferable between them. It has also been assumed that tax reliefs, including mortgage interest relief, continue to apply.