§ Mrs. BeckettTo ask the Chancellor of the Exchequer what income tax is received from those over pensionable age by decile or quartile with respect to total numbers of people over pensionable age; and what is the median weekly income tax received from those over pensionable age.
§ Mr. Norman Lamont[holding answer 5 December 1988]: In 1988–89, about 2.6 million single people aged 65 or over and married couples in which at least one partner is 65 or over will be liable to income tax. This represents about one third of all elderly tax units. The median level of income tax taken over all such tax units is therefore nil. The level of income at the upper quartile point is about £100 per week and income tax paid is about £7 per week. The corresponding figures for the highest decile point are £200 and £25. The total income tax liability of elderly tax units is given in the table.
Income tax liability of aged tax units 1988–89 Quartile Tax units (thousand) £ billion Top 10 per cent. 790 3.1 Next 15 per cent. 1,185 0.9 Next 8 per cent. 625 0.2 Remainder 5,300 — Total 7,900 4.2 Estimates are based on a projection of the 1985–86 survey of personal incomes and are provisional.