§ 28. Mr. NellistTo ask the Chancellor of the Exchequer what further evidence he has of any link between work incentives and cuts in the highest rates of income tax.
§ Mr. Norman LamontCutting marginal tax rates undoubtedly gives a stimulus to enterprise, initiative and effort. Cuts in the highest rates will encourage managers and skilled professionals to work and pay tax in this country rather than abroad. These effects inevitably take some time to build up. A number of econometric studies identify a positive incentive effect, despite tending to look only at the short term. Since top tax rates were cut in 1978–79 the share of tax paid by the top 5 per cent. of taxpayers has increased from 24 to 30 per cent.
§ 39. Miss WiddecombeTo ask the Chancellor of the Exchequer what is the weekly value to a married man on half average male earnings of the changes in income tax for 1988–89.
§ 48. Mr. BrazierTo ask the Chancellor of the Exchequer what is the weekly value to a married man on half average male earnings of the changes in income tax for 1988–89.
§ Mr. Norman Lamont£2.43. The calculation assumes that the wife has no earnings and that the only allowance or relief claimed is the married man's allowance.
§ 42. Mr. ShersbyTo ask the Chancellor of the Exchequer what is his estimate of the weekly value to the average pensioner couple of the changes in income tax for 1988–89.
52. Mr. Andy StewartTo ask the Chancellor of the Exchequer what is his estimate of the weekly value to the average pensioner couple of the changes in income tax for 1988–89.
§ Mr. Norman LamontI refer my hon. Friend to the answer given earlier today by my right hon. Friend the Chief Secretary to my hon. Friend the Member for Keighley (Mr. Waller).
§ 76. Mr. Neil HamiltonTo ask the Chancellor of the Exchequer how many higher rates of income tax have been eliminated since 1979.
§ Mr. Norman LamontSince 1979 the number of higher rates has been reduced from nine to just one. In addition the investment income surcharge has been abolished.