§ 12. Mr. J. Paton
asked the Chancellor of the Exchequer how many occupational pensions schemes have been recognised for tax relief by the Exchequer in each of the years 1954, 1955, 1956, and 1957.
I regret that figures in the precise form asked for could not be extracted without a disproportionate expenditure of time and labour. The nearest figures available are given below.
(1) SCHEMES APPROVED UNDER SECTION 379, INCOME TAX ACT, 1952 Year to 30th September, 1954 … … 404 Year to 30th September, 1955 … … 331 Year to 30th September, 1956 … … 458 Year to 30th September, 1957 … … 455
(2) SCHEMES TO WHICH SECTION 386 (1) RELATES — Group Schemes Schemes relating to named individuals Year to 30th September, 1954 2,285 5,089 Year to 30th September, 1955 2,699 6,967 Year to 30th September, 1956 2,711 6,541 Year to 30th September, 1957 2,498 6,426
There are also schemes of a similar pattern to those under (2) above which do not require the approval of the Inland Revenue, usually because the employer is not a body corporate. Some of these schemes come to the notice of the Inland Revenue, but the total number is not known.
§ 13. Mr. J. Paton
asked the Chancellor of the Exchequer what has been the cost to the Exchequer of tax reliefs granted in respect of occupational pensions schemes in each of the years 1954, 1955, 1956, and 1957.
The estimated amounts of tax relief to both employers and employees for the years 1954–55, 1955–56, 1956–57 and 1957–58 in respect of contributions to occupational pension schemes and to the investment income of approved funds are about £100 million, about £105 million, about £120 million and about £130 million, respectively. It cannot, of course, be assumed that, if the reliefs had been withdrawn, these amounts of extra tax would have been collected.18W
§ Mr. McKay
asked the Chancellor of the Exchequer what proportion of the 8s. 4d. per week paid by men and 7s. 2d. by women under National Insurance to the new pension scheme ranks for tax relief; and what the total tax relief in the first full year will be for insured persons, including those in the graduated pension section, income tax remaining as at present.