HC Deb 04 March 1957 vol 566 cc4-5W
Mr. Turton

asked the Minister of Pensions and National Insurance what proportion the present National Insurance contributions bear to the average weekly earnings in Great Britain at the latest convenient date; and how that compares with such proportions in France, West Germany, Belgium, Holland, Luxembourg, and Italy, respectively, with which Great Britain has reciprocal arrangements for social security.

Mr. Boyd-Carpenter

In October last, the latest date for which statistics about average earnings are available, the weekly contribution paid by an employed man in Great Britain was 2.8 per cent. of the average weekly earnings of manual wage earners in the manufacturing industries and in some of the principal non-manufacturing industries, and his employer's contribution was 2.6 per cent. of this average, making a total of 5.4 per cent. For employed women the corresponding percentages were 4.5 per cent., 4 per cent. and 8.5 per cent. respectively.

Percentage contributions in respect of the social insurance schemes of the other countries referred to are not comparable because the range of benefits they finance is different and includes benefits such as family allowances (which we meet wholly from general taxation) and medical treatment which is also mainly paid for in this country from taxation. The percentages given also apply in some countries only to certain classes and to earnings below certain limits. The following are the latest figures available; they exclude contributions to family allowances, but cover all other benefits provided from this source.

SOCIAL INSURANCE CONTRIBUTIONS*AS PERCENTAGES OF EARNINGS
Employed person's share Employer's share Total
France 6.0 13.5 19.5
West Germany 12.0 14.3 26.3
Belgium† 9.0 10.5 19.5
The Netherlands 10.5 15.6 26.1
Luxembourg† 9.0 13.5 22.5
Italy‡ 2.4 19.3 21.7
*Excluding contributions for family allowances.
† Wage earners only.
‡ Workers in industry only.