§ Mr. David NicholsonTo 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) half average earnings, (b) average earnings and (c) 1½ 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 LamontThe information is in the tables.
Income tax and income tax and NIC as percentages of Gross Earnings Multiples of average earnings1 0.5 1 1.5 Single person 1963–64 Tax 7.3 17.3 21.6 Tax & NIC 13.6 22.4 25.0 1973–74 Tax 14.2 22.1 24.7 Tax & NIC 21.0 27.9 29.2 1983–84 Tax 18.0 24.0 26.0 Tax & NIC 27.0 33.0 34.2 1988–892 Tax 14.8 19.9 21.6 Tax & NIC 23.8 28.9 29.1 Married3 couple 1963–64 Tax 1.3 12.5 18.4 Tax & NIC 7.6 17.6 21.8 1973–74 Tax 9.4 19.7 23.1 Tax & NIC 16.2 25.6 27.6 1983–84 Tax 11.1 20.6 23.7 Tax & NIC 20.1 29.6 32.0 1988–892 Tax 8.9 17.0 19.6 Tax & NIC 17.9 26.0 27.1 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