<i>HOW BRITAIN HAS FARED UNDER LABOUR</i>
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Your support makes all the difference.HIGH-EARNING SINGLE MAN
HIGH-EARNING SINGLE MAN
LOW-INCOME FAMILY
PENSIONER COUPLE
MIDDLE-BRITAIN FAMILY
HIGH-TECH ENTREPENEUR
DETAILS
Salary £50,000, company car, £150,000 mortgage & plans to move house, drinks and smokes, 2 foreign holidays
He earns £11,000 a year, she looks after their three children. They receive housing benefit, and drink and smoke moderately.
This under-74 has an occupational pension high enough to put him and his wife amongst the well-off pensioners. With state pensions too, they have an income of £25,527. They have no mortgage, don't smoke and take two overseas holidays each year.
A full-time husband on average earnings, a wife working part-time, three children, a £60,000 mortgage and one holiday a year make this family with £25,000 close to typical.
Despite a high basic salary of £200,000 and an expensive house with a mortgage of £450,000, people who start high-technology businesses have been generously rewarded for their willingness to take risks.
FIGURES
Net loss-£5,400 pa
Net gain £1,800 pa
Net gain £1,600 pa
Net gain £4,500 pa
Net gain £180,000 pa
SUMMARY
The affluent young man who likes the high life has been hardest hit by increased stamp duty and the abolition of mortgage interest tax relief, and by increased tax charges on his upmarket company car.
The Working Families Tax Credit has made the biggest difference to these low-earners, and they also gain from increased child benefit and the introduction of the childrens' tax credit, worth £520p.a. There is still an overall gain even though the level of WFTC has led to a reduction in housing benefits
Reduced income tax has made the biggest difference to this couple, although they also benefit from government measures like the winter fuel allowance.
They have lost out from the abolition of mortgage interest tax relief, but gained from lower income tax and national insurance on average incomes and from the big increase in child benefit. They also benefit from the WFTC and the childrens' tax credit
The biggest gain has come from reduced capital gains taxes on the sale of business assets - the figure assumes the entrepreneur sells shares realising a gain of £1,000,000. This easily offsets increased income tax and national insurance on high levels of salary.
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