One-income families with children or minding the elderly or handicapped people to benefit from a £3,000 tax allowance, claimed at the standard 22 per cent income tax rate. Full details on the rules for qualifying will come in the Finance Bill next year.
This means a cash gain of £660 per annum for the single-income families who can claim but no extra benefit for such families with no children or dependants.
At lower-income levels below £30,000, single-income families now gain more from the Budget than dual earners.
At higher income levels, dual-earning couples gain more as they benefit from the wider tax band.