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Unemployment Costs

Volume 76: debated on Wednesday 3 April 1985

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asked the Chancellor of the Exchequer what is the latest estimated cost to the Exchequer of the average unemployed person, including all benefits and the cost of lost taxes and national insurance contributions.

I have been asked to reply.The estimated average cost per beneficiary of benefits paid in respect of unemployment is £2,300 for 1984–85. Changes in tax revenue and income from national insurance contributions depend on the causes of unemployment and there is a wide range of possible effects. No single estimate can be given.