§ Mr. WelshTo ask the Chancellor of the Exchequer if he will estimate the cost of increasing personal allowance on income tax to(a) £4,000, (b) £5,000, (c) £6,000, (d) £7,000 and (e) £8,000 in Scotland based on 1996–97 prices for each year from 1996–97 to 1999–2000; and in each case how many taxpayers would be removed from income tax altogether. [9079]
§ Mr. Jack[holding answer 13 December 1996]It is not possible to provide a reliable breakdown below United Kingdom level for 1996–97. The latest available information is for 1994–95. The full-year cost of increasing the non-aged personal allowance in Scotland under the 1994–95 tax regime and at 1994–95 income levels is given in the table below. The numbers of taxpayers removed from income tax are also shown.510W
Increase non-aged personal allowance in Scotland from £3,445 to: Full year cost (£million) Number of taxpayers taken out of income tax (thousands) £4,000 290 100 £5,000 770 260 £6,000 1,200 400 £7,000 1,700 540 £8,000 2,100 710