§ Mr. Tim SmithTo ask the Chancellor of the Exchequer by how much, in real terms, he estimates take-home pay for(a) a single person, (b) a married man with no children and (c) a married man with two children to have increased for those on (i) half average earnings, (ii) three quarters average earnings, (iii) average earnings, (iv) one and a half times average earnings, and (v) twice average earnings, between 1978–79 and 1988–89; and what are the comparable figures between 1973–74 and 1978–79.
§ Mr. Norman Lamont[holding answer 11 May 1988]: The figures are in the table.
Percentage change in real take-home pay Multiples of male average earnings ½ ¾ 1 1½ 2 Single 1973–74 to 1978–79 -1.0 -2.2 -2.8 -3.6 -4.1 1978–79 to 1988–89 +25.8 +29.1 +31.0 +34.1 +32.9 Married with one earner and no children 1973–74 to 1978–79 +2.4 +0.4 -0.9 -2.2 -2.4 1978–79 to 1988–89 +23.3 +27.1 +29.3 +32.8 +32.8 Married with one earner and 2 children aged under 11 1973–74 to 1978–79 +4.2 +2.0 +0.6 -1.2 -1.4 1978–79 to 1988–89 +21.5 +25.1 +27.5 +31.3 +31.5 Note:
The taxpayer is assumed not to be contracted out of SERPS, and to claim no allowances or reliefs other than the basic personal allowance (and child tax allowance where appropriate).