HC Deb 23 April 1986 vol 96 cc176-7W
Mr. Meacher

asked the Chancellor of the Exchequer what has been the gain from all the measures contained in the Budget statements from 1979 to 1986, inclusive for the top 1 per cent., 5 per cent., 10 per cent., 20 per cent., 50 per cent., and the remaining 50 per cent. of the population; how many taxpayers are in each of these categories; and what has been the gain per taxpayer in each category.

Mr. Moore

[pursuant to his reply, 10 April 1986, c. 193]: Information is available in the form requested only for income tax changes. The table shows the reductions in income tax liabilities at 1986–87 income

Points of income distribution in 1986–87* Numbers of Tax units† in 1986–87 Reduction in income tax liability compared with 1978–79 indexed regime
million Amount £ million Average per tax unit‡ £
Top 1 per cent. 0.2 1,670 7,770
Top 5 per cent. 1.1 2,870 2,760
Top 10 per cent. 2.1 3,660 1,760
Top 20 per cent. 4.2 4,740 1,130
Top 30 per cent. 6.3 5,560 880
Top 40 per cent. 8.4 6,250 740
Top 50 per cent. 10.7 6,830 650
Bottom 50 per cent. ‡9.8 1,270 120
All 20.5 8,100 380
* By reference to income for income tax purposes of those who would be liable to pay income tax under the indexed 1978–79 regime.
† All information is in terms of tax units ie married couples are counted as one and their incomes combined.
‡ Excluding 900,000 who would pay tax under the 1978–79 indexed regime.