Personal Income

(asked on 10th July 2015) - View Source

Question to the HM Treasury:

To ask Mr Chancellor of the Exchequer, what estimate he has made of the number of people who will experience a net loss in income as a result of the changes to in-work benefits and the minimum wage announced in the Summer Budget 2015.


Answered by
David Gauke Portrait
David Gauke
This question was answered on 15th July 2015

As a result of the introduction of the National Living Wage, 2.75m workers are expected to benefit directly, and up to 6m could see their pay rise as a result of a ripple effect up the earnings distribution.

Getting the public finances under control will mean that some families receive less in benefits, but overall, 8 out of 10 working households will be better off in 2017-18 as a result of the Summer Budget increase to the income tax personal allowance, welfare changes, and introduction of the National Living Wage. This translates to 12.5 million working households better off.

Reticulating Splines