HC Deb 06 April 1989 vol 150 cc248-9W
21. Mr. Kirkwood

To ask the Chancellor of the Exchequer what plans he has to further reduce the tax burden on the low paid.

Mr. Norman Lamont

My right hon. Friend outlined in his Budget statement on 14 March his proposals to increase the main allowances in line with statutory provisions and to reform the system of employees' national insurance contributions. When it is prudent and sensible to do so we intend to reduce the basic rate of income tax further to a target of 20p in the pound.

127. Mr. Nicholas Baker

To ask the Chancellor of the Exchequer what will be the effect of his Budget proposals upon those on lower incomes.

Mr. Norman Lamont

Those on lower incomes will benefit from the reduction and reform of national insurance contributions, the abolition of the pensioners' earnings rule and the extension of the over-80s age allowance to those aged 75 and over.