§ Sir Brandon Rhys Williamsasked the Secretary of State for Social Services what total contributions were made to the national insurance system in money terms by a male and a female employee retiring at the most convenient recent date, after a career in full employment at the national average wage; and what the total figures would have been if each year's contributions had been upvalued at compound interest of 2½ per cent. per annum and at the rate of increase of the retail price index.
§ Mr. WhitneyFrom 1948, when the national insurance system started, to April 1984, the total figures are as follows:
Males £ Females £ Total actual NI contributions 4,728.36 3,178.76 Total actual NI contributions compounded each year by 2.5 per cent. 5,490.59 3,748.43 Total actual NI contributions uprated by the RPI 9,803.21 7,087.10 NOTES:
1. National insurance contributions are at the non-contracted out rate.
2. Graduated retirement benefit contributions are not included because the average earnings, whole economy, are not available for the period graduated contributions were payable.
3. Earnings related national insurance contributions were introduced in April 1975. From that date to April 1983 average earnings estimates are in respect of full-time adult workers—males aged 21 and over; females aged 18 and over—and have been derived by using the index of average earnings (whole economy-seasonally adjusted). From April 1983 the average earnings estimates are in respect of all adult workers.
4. Yearly contributions have been assessed by using the derived earnings obtained for the October of each year on the assumption that average weekly earnings for that month represent the average for the whole of the tax-year.
5. The retail price index revaluation is based on the movements in the retail price index every year from October 1948 until October 1983.