HC Deb 17 May 1976 vol 911 cc333-4W
Mr. Pardoe

asked the Chancellor of the Exchequer if he will estimate the loss in revenue for 1976–77 which would occur if investment increase surcharge were not charged on the first £2,000 of income.

,1973–74
Earnings Tax NI Tax as percentage of earnings NI as percentage of earnings
£ £
£1,500 … … 129.54 95.03 8.6 6.3
£2,000 … … 279.54 119.40 14.0 6.0
£2,500 … … 429.54 143.58 17.2 5.7
£3,000 … … 579.54 151.38 19.3 5.0
£3,500 … … 729.54 151.38 20.8 4.3
£4,000 … … 879.54 151.38 22.0 3.8
£5,000 … … 1,179.54 151.38 23.6 3.0
£6,000 … … 1,479.54 151.38 24.7 2.5

1976–77(*)
Earnings Tax NI Tax as percentage of earnings NI as percentage of earnings
£ £ £
2,452 … … … … 313.95 140.99 12.8 5.8
3,270 … … … … 600.25 188.03 18.4 5.8
4,087 … … … … 886.20 235.00 21.7 5.8
4,905 … … … … 1,172.50 282.04 23.9 5.8
5,722 … … … … 1,458.45 284.44 25.5 5.0
6,540 … … … … 1,744.75 284.44 26.7 4.3
8,175 … … … … 2,460.00 284.44 30.1 3.5
9,810 … … … … 3,315.25 284.44 33.8 2.9

Mr. Robert Sheldon

Assuming that investment income above £2,000 were charged at 15 per cent. the cost for 1976–77 would be about £40 million.