Mr Major’s Written Parliamentary Answer on Benefits – 26 March 1987

Below is the text of Mr Major’s written Parliamentary Answer on Benefits on 26th March 1987.

Mr. Austin Mitchell Asked the Secretary of State for Social Services if he will estimate the savings in benefits in the next financial year of raising the single and married allowances for both income tax and national insurance contributions to £2,500 and £5,000, respectively; if he will provide an estimate of the number of adults and children taken out of benefit under the various headings; and how many would remain in receipt of benefit as a result of also raising child benefit to £15 and making it taxable.

Mr. Major There would be a negligible effect on benefit expenditure and eligibility to benefit in 1987-88 as a result of changes in tax allowances, or changes in national insurance contributions in that year (there is, in any event, no single or married allowance for such contributions). It would be disproportionately costly to estimate the effect of raising child benefit to £15 and making it taxable.