HC Deb 04 February 1991 vol 185 cc55-6W
15. Mr. Brazier

To ask the Secretary of State for Social Security what estimate he has of the number of low-income working families facing deduction rates of 100 per cent. or more(a) prior to 1988 social security reforms and (b) currently.

Mr. Newton

The social security reforms in 1988, together with subsequent changes including the major restructuring of national insurance in October 1989, have to all intents and purposes ended the situation in which the combined effect of tax and contribution deductions and benefit withdrawal could leave a family worse off as a result of increased earnings. Prior to the reforms, it is estimated that some 70,000 families were in this position.