To ask the Chancellor of the Exchequer what is the estimated cost to the Exchequer in a full tax year of introducing a child care tax allowance on the first (a) £1,000, (b) £2,000 and (c) £5,000 of taxable income for (i) working single parents and (ii) couples where both spouses are working.
Estimates of the cost of introducing allowances against taxable incomes of (i) working single parents and (ii) the higher earner in a two earner family for 1992–93 are as follows:
Cost (£ million)
£1,000 per year
£2,000 per year
£5,000 per year
|Working single parents||60||120||220|
|Higher earner in a two earner family with children||900||1,800||4,300|