National Insurance Contributions

HC Deb 14 December 1983 vol 50 c494W

Mr. Hordern

asked the Secretary of State for Social Services what proportion of average earnings was taken up by national insurance contributions by employees and by employers in 1953, 1960, 1970 1980 and at the latest convenient date; and what, on current projections, these proportions will be in 1990 and 2000.

Dr. Boyson

The information requested is as follows:

Financial year	Contributions to the National Insurance Fund as proportion of average earnings
	Employee' s share (per cent)	(per cent)	Employer's share (per cent)
1953–54*	2.7		2.6
1960–61*	2.8		2.7
1970–71*†	5.1		5.4
1980–8†	6.35		9.40
1983–84†	8.00		9.65
1990–91†‡	—	15.6	—
2000–1†‡	—	16.0	—

Notes

^* Including the contribution to tie Industrial Injuries Fund

† For an employee not contracted-out of the State Scheme.

‡ Based on the assumptions used in the Government Actuary's Report on the first Quinquennial review under Section 137 of the Social Security Act 1975 (HC 451 1981–82) on the (a)(iii) basis of paragraph 6.12 modified to allow for Treasury Supplement at the proposed 1984–85 rate of 11 per cent. The projections did not apportion the total contribution required between employee and employer.