§ Mr. McKayasked the Chancellor of the Exchequer the amount of contributions paid by employers to company superannuation schemes in 1956; what was the total loss to the Exchequer due to tax relief to the employees and to the loss of profits arising from such schemes, respectively; and what was the average percentage of tax relief to the employees on the contributions they paid.
§ Mr. PowellComplete and up-to-date statistics of employers' contributions to superannuation schemes for their employees are not available. It is estimated that the contributions paid by companies are about £200 million a year attracting tax relief of about £90 million. The total tax relief to employees on their contributions to the same schemes is estimated at about £10 million. The average rate at which employees get tax relief on their contributions is about 2s. 6d. in the £.