National Insurance Contributions

HC Deb 01 May 1995 vol 259 c108W

Mr. Dewar

To ask the Secretary of State for Social Security, pursuant to his answer of 13 December 1994,Official Report, column 630, on the cost of reintroducing the earnings link for uprating retirement pensions and linked benefits on the basis of the assumptions used in that answer, if he will estimate the effect on national insurance contributions rates in the years form 1997–98 to 2006–7. [20974]

Mr. Arbuthnot

The table shows the estimated combined increase in the main class 1 contribution rates paid by employers and employees which would be needed to raise the additional revenue to cover the extra cost of retirement pensions and other linked benefits.

Year	Increase in combined rate of employer and employee contributions (per cent.)
1997–98	0.2
1998–99	0.4
1999–00	0.6
2000–01	0.8
2001–02	1.0
2002–03	1.2
2003–04	1.4
2004–05	1.6
2005–06	1.8
2006–07	2.1

Source:

Government Actuary's Department.