§ Ms Rosie WintertonTo ask the Secretary of State for Social Security if he will estimate the additional income to public funds if(a) class 2 contributions and (b) class 4 contributions were levied at the same rate as class 1 contributions. [70427]
§ Mr. TimmsIf the self-employed contributed at the combined employee and employer Class 1 rate, the estimated additional contribution revenue would be £5.1 billion for the year 1999–2000.
§ Ms Rosie WintertonTo ask the Secretary of State for Social Security how many persons made national insurance(a) class 2 contributions and (b) class 4 contributions in each of the last five fiscal years. [70429]
§ Mr. TimmsThe information is not available in the format requested. Such information as is available is in the table.
Million Fiscal year Class 2 contributors1,3 Class 4 contributors2,3 1991–92 2.4 2.1 1992–93 2.3 2.0 1993–94 2.4 2.0 1994–95 2.4 2.0 1995–96 2.3 2.0 1996–97 — 1.9 1 Figures for the number of people paying Class 2 contributions are taken from the Lifetime Labour Market database which contains a 1 per cent, sample of the National Insurance Recording System taken at February 1997. Information about the total number of Class 2 contributors is not yet available for 1996–97. 2 The figures for Class 4 contributors are based on estimates derived from an analysis of income reported to the Inland Revenue. The information is based on samples of around 25,000 self-employed individuals for each year. 3 Figures have been rounded to the nearest hundred thousand.
§ Ms Rosie WintertonTo ask the Secretary of State for Social Security if he will estimate the cost of allowing national insurance class 4 contributors to be entitled to(a) Incapacity Benefit and (b) retirement pension. [70433]
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§ Mr. TimmsClass 4 National Insurance contributions are payable in addition to Class 2 contributions on profits from self-employment above a certain level. The self-employed can already qualify for Incapacity Benefit and basic State Retirement Pension through payment of Class 2 contributions.
§ Ms Rosie WintertonTo ask the Secretary of State for Social Security what were the total receipts from(a) class 2 contributions and (b) class 4 contributions in each of the last five fiscal years expressed (i) in cash terms and (ii) at September 1998 prices. [70428]
§ Mr. TimmsThe information is in the table.
Total receipts of class 2 and class 4 national insurance contributions GB £ million Cash terms September 1998 prices Year Class 2 Class 4 Class 2 Class 4 1993–94 652 749 757 870 1994–95 663 764 749 863 1995–96 681 803 746 879 1996–97 711 900 761 962 1997–98 720 977 745 1,011