HC Deb 06 April 1987 vol 114 cc76-7W
Mr. Austin Mitchell

asked the Chancellor of the Exchequer (1) whether he will publish in the Official Report a table showing in the case of the wife's earnings election the estimated cost to the Exchequer in the next financial year, together with tables showing (a) the estimated loss of tax in terms of each combined gross income band and (b) for (i) husbands and (ii) wives, the numbers assessed separately by range of income together with the gross amount of income and the gross amount of unearned income;

(2) whether he will publish in the Official Report a table showing for the next financial year information concerning wife's earned income allowance on the same basis as given in his reply of 24 July 1986, Official Report, at column 467.

Mr. Norman Lamont

[pursuant to his replies of 23 March 1987, c. 41 and 27 March 1987. c. 307]: I assume that the hon. Member is referring to the information on the wife's earnings election in column 467 of the Official Report of 24 July 1986.

Estimates for 1987–88 of the numbers of elections, the direct revenue costs, and the levels of incomes expected are in the tables. Estimates are based on a projection of the 1984–85 survey of personal incomes and are therefore provisional.

Table 1—Wife's earnings elections, 1987–88
Range of joint total income (lower limit) (£ per annum) Elections (thousands) Direct revenue costs (£ million)
20,000 — —
25,000 50 10
30,000 175 125
40,000 55 80
50,000 50 185
Total 330 400
Table 2—Wife's earnings elections, 1987–88 by husband's income
Range of husband's total income' (lower limit) (£ per annum) Elections Husband's income
(thousands) Aggregate total income1 (£ million) Aggregate investment income (£ million)
10,000 10 160 15
15,000 80 1,350 75
20,000 160 3,900 270
30,000 60 2,070 220
50,000 20 1,560 230
1 Total income is husband's earned income plus husband's investment income.
Table 3—Wife's earnings elections, 1987–88 by wife's income
Range of wife's total income1 (lower limit) (£ per annum) Elections Wife's income
(thousands) Aggregate total income1 (£ million) Aggregate investment income (£ million)
5,000 100 810 15
10,000 140 1,690 45
15,000 50 860 55
20,000 30 640 60
30,000 10 530 55
1 Total income is wife's earned income plus wife's investment income.