HC Deb 02 November 1988 vol 139 cc670-1W
Mr. David Nicholson

To ask the Chancellor of the Exchequer what proportion of gross income was represented by the amount of income tax and employees' national insurance contributions payable on incomes(a) twice average earnings, (b) three times average earnings and (c) five times average earnings in the financial years 1963–64, 1973–74, 1983–84 and 1988–89, using the latest data on average earnings for 1988–89.

Mr. Norman Lamont

The information is in the tables.

Income tax and income tax & NIC as percentages of gross earnings
Multiples of average earnings1
2 3 5
Single person
1963–64 Tax 23.8 25.9 28.3
Tax+NIC 26.3 27.6 29.3
1973–74 Tax 26.0 29.2 38.7
Tax+NIC 29.4 31.5 40.0
1983–84 Tax 27.8 33.9 42.6
Tax+NIC 34.0 38.0 45.1
1988–892Tax 25.1 30.0 34.0
Tax+NIC 30.5 33.7 36.2
Married3 couple
1963–64 Tax 21.3 24.3 27.3
Tax+NIC 23.9 26.0 28.3
1973–74 Tax 24.9 28.0 37.7
Tax+NIC 28.2 30.3 39.1
1983–84 Tax 25.5 32.0 41.3
Tax+NIC 31.7 36.1 43.7
1988–892Tax 22.8 28.5 33.1
Tax+NIC 28.2 32.1 35.3
1 Earnings are average earnings of full-time adult males working a full week on adult rates in all occupations.
2 Provisional.
3 Assumes wife not in paid employment.