What if the tax and benefits system already rewards marriage?

If you want the system to incentivise staying together, then relax.

MPs have written to the Chancellor this morning calling for the introduction of a marriage tax allowance. But what if the tax and benefits system already rewards marriage?

This would challenge the idea of the 'couple penalty' - the idea that the tax and benefit system makes it more attractive for families to split up than stay together. It's not mentioned in the MPs' letter, but it's an implicit part of the debate around the issue.

In principle, it sounds like a simple thing to work out: you would just need to calculate whether the system makes people richer if they split up, or not.

The problem is that it's relatively easy to work out how taxes and benefits change if a couple split up - but harder to work out how their cost of living changes. Economies of scale kick in when you live with a partner, and you need to calculate how much cheaper bills, rent and living expenses are under one roof.

The usual way of working out this is using an equivalence scale: a ratio that estimates how much extra family members cost. Most analyses that have suggested a 'couple penalty' exists rely on these scales, and usually an OECD scale drawn up in 1982. These scales generally rely on researchers' assumptions [pdf] about economies of scale and how people live - not, as a rule, actual evidence about how people live. They're not entirely plucked out of the air, but they are not really a meaningful way to assess relative need.

So why not ditch the abstraction, and actually aim to understand what people in the real world need to live on based on a common framework, and then work out the relative cost of living together or apart?

We need not imagine: this June some researchers did just that (report here [pdf]). Analysing what real, live, actual people said they need to live, and then combing through that to work out the precise cost of living, it found a rather different picture. An unemployed couple, for example, would be £62 a week worse off if they split up; if one parent was in work at £9 an hour they would £36 worse off; if both worked, it was £44. The numbers vary by family size and type but as a rule, people are not better off apart.

None of this necessarily makes the idea of marriage tax allowances a bad one, or undermines the aim of supporting families more generally. It does suggest extreme caution though. Policy based on a purely theoretical understanding of how couples manage money is likely to be ineffective policy. Examining the couple penalty is far from easy, but the best analysis we have suggests it doesn't exist on a systematic basis.

What's more, it suggests much of the angst about undermining marriage is misplaced. If you want the system to incentivise staying together, then relax, and rejoice: it already does.

Photograph: Getty Images

Gordon Hector is public affairs manager for the Joseph Rowntree Foundation.

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Mumslink shows how online parenting networks are coming of age

Women online are changing the relationship between digital domesticity and digital independence. 

The habit of “speaking as a mother” came in for its fair share of criticism this summer. Andrea Leadsom’s insinuation of superiority over Theresa May, her rival for the Tory leadership, elicited widespread scorn – not least from those who have done most to strengthen the voice of mothers as a group: internet mums.

Over the past 15 years, the ten million users a month who log on to Mumsnet have been courted by politicians in webchats and speeches alike. The 2010 general election was even named “the Mumsnet election” in their honour.

From the start, parenting networks attracted users interested in comradeship, as much as those after information. 

For Jo Williamson, a mother-of-two, the trigger was the day her second child left for school, a jarring experience. “I went into a blind panic, thinking: ‘Blimey, I’m going to be sitting in an empty house just waiting for everybody to come back.’” In response, Jo and her business partner Jane Pickard came up with the idea for a new site that focuses on the fluid nature of many women’s professional and family lives.

The resulting network, Mumslink, uses carefully edited news feeds to introduce readers to ideas, businesses and charities that complement all aspects of their lives – from recipe tips to volunteering. “There are so many women out there with a plethora of talents but most of the time, because you’re with your children, nobody asks you to get involved,” Williamson says.

Similar feelings of isolation led Siobhan Freegard to found Netmums, one of the UK’s largest parenting sites. Back in 2000, she had barely heard of “social networks”, nor of Mumsnet, which launched around the same time, yet she knew that mothers needed a place “to share their stories and maybe meet up in the offline world, too”.

Such identity-building led to divisions over “the right way” to be a mother. A tense rivalry developed between the slightly younger Netmums and the more educated and affluent Mumsnetters (Tesco and Waitrose didn’t sponsor different networks for nothing). Within the sites’ pages, differences of opinion over working v stay-at-home parenting sparked allegations of hostility and bullying. Still, the media researcher Sarah Pedersen says there’s an argument that these sites have helped produce a reduction in depression and anxiety, as well as greater opportunities for women to negotiate “the tension between themselves and their role as mothers”.

There are signs that this online culture is growing up. The perception of mums as “a bit insular and thick” is more easily countered, says Justine Roberts, the founder of Mumsnet, “now that so many mothers are able to express their individuality, their interests and their expertise in the public domain”.

According to Freegard, the very act of online sharing has helped begin to repair the rifts within the parenting debate. “With social media, we see working mums and part-time mums, and we see mums changing roles as their children change ages, and we understand that there are different angles to things – that everyone has their story.”

This is more pronounced in the world of video blogging, Freegard says. On her YouTube channel, Channel Mum, people talk calmly about controversial subjects that would have been a “bloodbath” on Netmums, such as ear piercing for very young children. “With video, you can see the person in real life and that helps you feel for their story,” she says.

Perhaps the greatest effect, however, has been on how the internet allows parents to work from home. As many as 160,000 part-time ventures have been started by British women in the past two years alone, self-styled kitchen-table start-ups. Sites such as Mumslink (similarly funded by Williamson and Pickard and run out of the former’s front room in Hertfordshire) aim to help this home-based workforce with new clients. One Mumslinker visits the site to write about her own line of natural nail varnish, another to promote her hot-tub business. The company Digital Mums uses it to encourage women to expand their digital skills.

Commercial savvy is something that Freegard is also keen to develop at Channel Mum – equipping her contributors with financial advice and small stipends. “I remember looking at mummy bloggers and thinking, ‘You guys didn’t get properly organised,’” she says. Freegard points out that most early mum bloggers never grew their audience beyond those already involved in parenting online, and struggled to become more professional as a result.

Quite what the future relationships will be between the brands, businesses and audiences for information on parenting has yet to be established. Some users will baulk at being increasingly cast in the role of consumer. At the same time, the networks’ names – Mumsnet, Netmums, Mumslink, Channel Mum – suggest that parenting is still a woman’s domain.

Yet a better balance seems to be emerging in the relationship between digital domesticity and digital independence. Greater gender equality in the distribution of start-up funding, more job vacancies that allow flexible working, and increasing numbers of prominent women in the tech industry are just some of the things the community is striving to promote. In Britain, which has an ageing population and an ever-growing community of carers, the rise of these networks seems sure to be a net gain for us all. 

For more, visit: mumslink.com

India Bourke is the New Statesman's editorial assistant.

This article first appeared in the 25 August 2016 issue of the New Statesman, Cameron: the legacy of a loser