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Personal Incomes

Volume 868: debated on Thursday 7 February 1974

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asked the Chancellor of the Exchequer if he will tabulate the components of the net weekly income of a man with a wife and two children under 11 years of age, assuming a wage of £35 a week and that the previous year's pay was at the same rates, showing relevant tax payments, repayments and any welfare benefits in the following circumstances, (a) for a week's work after 39 weeks at the appropriate rate and (b) when unemployed after 39 weeks' employment and when qualifying for earnings-related benefit.

The figures are:

A
£
Weekly wage35·00
Family allowances0·90
35·90
National Insurance Contributions:
Flat rate0·84
Graduated1·32
Income tax4·35
Net income29·39
B
£
Unemployment Benefit:
Flat rate15·60
Earnings Related Supplement7·63
Family allowances0·90
Income tax refund6·20
Net Income30·33
Column A shows the components of the net weekly income when at work for week 40 in the tax year.Column B shows the components for week 42 on the assumption that this is the third consecutive week of unemployment.

asked the Chancellor of the Exchequer if he will tabulate the components of the net weekly income of a man with a wife and two children under 11 years of age, assuming a wage of £30 per week and that the previous year's pay was at the same rates, showing relevant tax payments, repayments and any welfare benefits in the following circumstances, (a) for a week's work after 39 weeks at the appropriate rate and (b) when unemployed after 39 weeks' employment and when qualifying for earnings related benefit.

The figures are:

A
£
Weekly wage30·00
Family allowances0·90
30·90
National Insurance Contributions:
Flat rate0·84
Graduated1·07
Income tax2·85
Net income26·14
B
£
Unemployment Benefit:
Flat rate15·60
Earnings Related Supplement6·85
Family Allowances0·90
Income tax refund6·20
Net income29·55
Column A shows the components of net weekly income when at work for week 40 in the tax year.Column B shows the components for week 42 on the assumption that this is the third consecutive week of unemployment.