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Last Updated: Wednesday, 12 March 2008, 16:06 GMT
Budget Families 2008
A look at how the 2008 Budget will affect different ages and incomes with six households, how well off they are at the moment, and how Alistair Darling's plans might change things.

We've created six families, with their details listed below and seen how they fare, both due to this Budget's announcements and also to previously announced measures taking effect now.

SINGLE MOTHER

Single mother

  • One young child
  • Works part time at minimum wage, earning 5,741
  • Spends 50 a week on childcare
  • Smokes; drinks beer
  • Social renter, Band A council tax
  • Gains 230 per year from pre-announced increases in tax credits (+368); gain reduced by abolition of 10p income tax rate (-31) and extra working tax credit reducing housing benefit entitlement (-107)
  • New announcements for 2008*: 4 a year worse off: losing from increase in alcohol tax
  • All new announcements for the next few years: 739 a year better off: gaining from increase in housing benefit disregard, increase in child benefit and increase in child tax credit; losing from increase in alcohol tax

SINGLE EARNER COUPLE NO CHILDREN

Single earner couple no children

  • Head earns 18,000 per year working full time; spouse doesn't work
  • Drives; drinks beer and wine
  • Private renter, Band B council tax
  • Loses 33 a year from abolition of 10p rate (-232) and petrol duty (-6); offset somewhat by cut to basic rate (+205)
  • New announcements for 2008*: 4 a year better off: gaining from postponement of fuel duty rise; losing from alcohol duty
  • All new announcements for the next few years: 29 a year worse off: losing from increase in alcohol tax and increase in fuel duty

SINGLE EARNER COUPLE WITH CHILDREN

Single-earner couple with children

  • Head earns 25,000 per year; partner doesn't work
  • Two children aged 7 and 5
  • Drive; drink beer, wine and spirits
  • 60,000 mortgage outstanding, Band D council tax
  • Gain 521 per year from pre-announced increases in tax credits (+422) and income tax changes (+113); gain slightly reduced by increase in petrol duty (-15)
  • New announcements for 2008*: 28 a year better off: gaining from postponement of fuel duty rise; losing from alcohol duty
  • All new announcements for the next few years: 74 a year better off: gaining from increase in child tax credit and increase in child benefit; losing from increases in fuel duty, vehicle excise duty and alcohol duty

SINGLE PERSON

Single person

  • Aged 30
  • Earns 50,000 per year; bit of savings income
  • Drive; drink beer and wine
  • Private renter, Band C council tax
  • Gains 107 per year from pre-announced changes - substantial gain from cut in basic rate of income tax (+441) reduced by increase in upper earnings limit for national insurance contributions (-328) and increase in petrol duty (-7)
  • New announcements for 2008*: 9 a year better off: gaining from postponement of fuel duty rise; losing from alcohol duty
  • All new announcements for the next few years: 160 a year worse off: losing from increases in alcohol duty, fuel duty and vehicle excise duty

ELDERLY COUPLE

Elderly couple

  • Aged 68 and 66
  • Substantial private pensions and a bit of other savings; total 16,640
  • Both entitled to full basic state pension
  • Drive; drink wine and spirits
  • Own home outright, Band E council tax
  • Gain 146 per year from pre-announced increase in pensioner tax allowance (+153) which is reduced slightly by increase in petrol duty (-7)
  • New announcements for 2008*: 55 a year better off: gaining from postponement of fuel duty rise and winter fuel payments; losing from alcohol duty
  • All new announcements for the next few years: 4 a year better off: gaining from extra winter fuel payment; losing from alcohol duty, fuel duty and vehicle excise duty

SINGLE PENSIONER

Single pensioner

  • Aged 82
  • Full basic state pension, and a small private pension of 1,040 per year
  • Smokes; drinks a bit of spirits
  • Owns home outright, Band A council tax
  • Unaffected by pre-announced changes
  • New announcements for 2008*: 98 a year better off: gaining from winter fuel allowance; losing from alcohol duty
  • All new announcements for the next few years: 95 a year better off: gaining from extra winter fuel payment; losing from increase in alcohol duty

*Note that this doesn't include the changes announced for April 2008 in last year's budget and pre-budget report (e.g. income tax, WTC and CTC).



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