To ask the Chancellor of the Exchequer (1) if he will estimate the effect on Treasury revenues in 1992–93 of introducing an allowance against income tax of (a) £1,000 and (b) £2,000 for all working mothers, giving both full and first year costs;(2) if he will estimate the effect on Treasury revenues in 1992–93 of introducing an allowance against income tax of
(a) £1,000 and (b) £2,000 for all working mothers, with at least one child under age five years, giving both full and first year costs.
Estimates of the cost of introducing allowances against taxable incomes for working mothers and lone parents at 1992–93 levels are set out in the table:
Cost (£ billion) allowance of | ||
(a) £1,000 per year | (b) £2,000 per year | |
All working mothers1 | 0·6 | 1·2 |
All working mothers with a child under five1 | 0·2 | 0·3 |
1 Including lone parents who are working. |
To ask the Chancellor of the Exchequer if he will estimate the effect on Treasury revenues in 1992–93 and in a full year of allowing the cost of child care against the income tax of (a) working mothers and (b) either partner in a two-earner couple, giving figures separately for children under five and those aged five to 16 years.
Information on child care costs paid by working mothers and by two-earner couples with different levels of income is not available. It is therefore not possible to estimate the cost of such a measure.
To ask the Chancellor of the Exchequer if he will estimate the effect on Treasury revenues in 1992–93 and in a full year of introducing a child care tax allowance of £50 a week for (a) working women and (b) either partner in a two-earner couple, assuming that relief is available at the basic rate only, giving figures separately for (i) all families with dependent children and (ii) families with at least one child under five years.
Estimates of the full year cost of introducing such an allowance in 1992–93 are set out in the table:
Cost (£ billion) Allowance of £50 per week restricted to basic rate relief and given to | ||
(a) working mothers and lone parents | (a) the higher earner in a twoearner couple | |
All families with dependent children1 | 1·4 | 2·2 |
Family with at least one child under the age of 5 | 0·4 | 0·8 |
1 Includes dependent children aged 16 to 18. |
To ask the Chancellor of the Exchequer if he will estimate the effect on Treasury revenues in 1992–93 and in a full year of introducing a child care tax allowance of £50 a week for (a) working mothers and (b) either partner in a two-earner couple, giving figures separately for (i) all families with dependent children and (ii) families with at least one child under five years.
Estimates for 1992–93 are in the table:
Cost (£ billion) allowance of £50 per week given to | ||
working mothers and lone parents | the higher earner in a twoearner couple | |
All families with dependent children1 | 1·4 | 2·3 |
Family with at least one child under the age of five | 0·4 | 0·8 |
1 Includes dependent children aged 16 to 18. |
Quantile group of taxpayers | Total income (£ million) | Average income (£ million) | Total earned income (£ million) | Average earned income (£ million) |
1990–91 | ||||
Top 1 per cent. | 28 | 107,400 | 20 | 78,000 |
Top 5 per cent. | 68 | 53,000 | 54 | 42,200 |
Top 10 per cent. | 101 | 39,600 | 84 | 32,800 |
Bottom 70 per cent. | 160 | 8,900 | 145 | 8,100 |
Bottom 50 per cent. | 95 | 7,400 | 86 | 6,700 |
Bottom 10 per cent. | 12 | 4,700 | 11 | 4,200 |
All taxpayers | 354 | 13,800 | 313 | 12,300 |
1991–92 | ||||
Top 1 per cent. | 28 | 113,000 | 22 | 88,400 |
Top 5 per cent. | 71 | 56,300 | 59 | 47,200 |
Top 10 per cent. | 106 | 42,000 | 91 | 36,200 |
Bottom 70 per cent. | 166 | 9,400 | 152 | 8,700 |
Bottom 50 per cent. | 98 | 7,800 | 89 | 7,200 |
Bottom 10 per cent. | 12 | 4,900 | 11 | 4,400 |
All taxpayers | 368 | 14,600 | 332 | 13,300 |