Private Health Insurance (Tax Relief)

HC Deb 05 November 1991 vol 198 c32W

Mrs. Beckett

To ask the Chancellor of the Exchequer (1) what is the estimated level of deadweight on tax relief for private health insurance;

(2) what is the total cumulative cost of the tax relief for private health insurance;

(3) for each year of the scheme's existence, what is (a) the number of people receiving tax relief for private health insurance, (b) the number of these that are pensioners and (c) the cost per pensioner for whom the tax relief has been claimed.

Mr. Maude

Of those cases benefiting from tax relief for private medical insurance in 1990–91, the proportion not previously covered by this form of insurance is not known, but is thought to be relatively small. The estimated cost of the relief in respect of 1990–91 was £55 million and for 1991–92 is expected to be about £60 million.

In 1990–91 relief was available in respect of about 330,000 contracts covering about 600,000 people aged over 60. The revenue cost per insured person was about£90.