§ Mr. Gordon BrownTo ask the Chancellor of the Exchequer if he will update the answer to the hon. Member for Holborn and St. Pancras (Mr. Dobson) of 18 December 1987,Official Report, columns 871–72, to give figures for the year 1988–89 on tax liability.
§ Mr. Norman Lamont[holding answer 29 April 1988]: Estimates are given in the table for the upper 50 per cent. and lower 50 per cent. of taxpaying single people and married couples analysed by total income liable to tax. The table shows the reduction in income tax liabilities, in a full year at 1988–89 income levels, under the 1988–89 income tax regime compared with the 1978–79 regime indexed to 1988–89 levels by reference to the statutory formula.
The total cost of tax relief in respect of maintenance payments in 1987–88 is estimated at £175 million. Of this, £35 million is at rates in excess of the basic rate.