HC Deb 28 February 2000 vol 345 cc160-1W
Mr. Edwards

To ask the Chancellor of the Exchequer if he will estimate the impact on revenue to the Exchequer in the financial year 2000–01 of(a) abolishing the upper earnings limit on employee national insurance contributions, (b) introducing a 50 per cent. rate of income tax for taxable income over £100,000 per year, (c) extending the 10 per cent. income tax band to £7,115 per year of gross income for (i) all taxpayers and (ii) taxpayers other than higher rate taxpayers and (d) raising the rate of the national minimum wage for adults to £4.94 per hour. [111643]

Dawn Primarolo

The estimated full-year tax and National Insurance Contribution effects for 2000–01 are in the table.

10,712 awards of the Disabled Person's Tax Credit were made in the same period and of these 3,279 had earnings less than £66 a week on the same basis.

Mr. Webb

To ask the Chancellor of the Exchequer if he will estimate the total yield from national insurance contributions in 1999–2000 prices in each financial year since 1978–79, broken down by(a) employer national insurance contributions, (b) employee national insurance contributions, (c) national insurance contributions paid by the self-employed, (d) national insurance contributions paid by the others and (e) the national insurance surcharge; if he will provide corresponding estimates of the investment income of the National Insurance Fund; and if he will provide projections for each of these items of the next three financial years. [107660]

Dawn Primarolo

Available information for Great Britain is given in the table.

Yield in 1999–2000 prices
£ billion
(a) Employer NICs (b) Employee NICs (c) Employed NICs (d) Other NICs (e) NI surcharge (f) Investament income
1978–79 19.54 12.11 0.91 0.04 6.18 1.45
1979–80 19.35 12.08 0.75 0.03 8.31 1.52
1980–81 19.22 12.28 0.73 0.03 8.16 1.44
1981–82 18.67 14.03 0.81 0.03 7.94 1.28
1982–83 19.35 16.80 0.95 0.04 5.44 1.01
1983–84 20.06 17.89 1.05 0.05 3.35 0.95
1984–85 20.37 18.23 1.15 0.05 1.65 0.96
1985–86 21.57 18.81 1.16 0.07 0.07 0.95
1986–87 22.94 19.49 1.18 0.05 0.01 l.04
1987–88 24.11 20.28 1.24 0.05 0.00 0.96
1988–89 25.60 21.02 1.38 0.05 0.00 1.17
1989–90 26.98 20.28 1.48 0.05 0.00 1.47
1990–91 27.33 18.63 1.48 0.05 0.00 1.30
1991–92 26.81 18.37 1.44 0.06 0.00 1.37
1992–93 26.96 18.09 1.45 0.06 0.00 l.10
1993–94 27.94 17.59 1.63 0.05 0.00 0.55
1994–95 27.29 20.32 1.63 0.07 0.00 0.42
1995–96 27.88 20.81 1.65 0.06 0.00 0.49
1996–97 28.35 20.95 1.73 0.06 0.00 0.51
1997–98 29.59 22.89 1.78 0.07 0.00 0.49
1998–99 31.06 23.97 1.64 0.06 0.00 0.67
1999–2000 32.16 23.48 1.70 0.07 0.00 0.73
2000–01 33.26 23.31 1.35 0.06 0.00 0.83
2001–02 33.35 23.23 2.05 0.06 0.00 0.95

Notes:

1. Constant prices using GDP deflation at market prices.

2. Employer NICs are Class 1 secondary, Class 1A and Class 1B contributions.

3. Employee NICs are Class 1 primary contributions.

4. Class 1 contributions are net of contracted-out rebates deducted from contributions but do not allow for rebates paid in the following yeai

5. Self Employed NICs are Class 2 and Class 4 contribution.

6. Other NICs are Class 3 contributions.

7. The NI Surcharge account is closed 1986–87 being the last year that anything other than an insignificant amount was paid in.

8. The totals for Employer and Employee NICs contain some payments into the Redundancy and Maternity Pay Fund. These, like payment to the NI surcharge, have now ended.

9. Figures for 1999–2000, 2000–01 and 2001–02 are projections consistent with the November 1999 pre-Budget Report.