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Mr. Mellor : We do not hold information on temporary closures and the reasons for them. It is for health authorities to decide when such measures are necessary. Temporary closures may be made for a number of reasons other than financial ones, for example, for building repairs or redecoration.
District Health Authorities (Expenditure)
Mr. Spearing : To ask the Secretary of State for Health what calculations he has made concerning the approximate overall percentage of increased costs between the financial years 1988-89 and 1989-90 borne by district health authorities in respect of the commodities, services, and other costs, adjusted by weight of expenditure ; if he will publish such calculations ; and what changes in grant calculations he expects to make in respect of their costs for the financial year 1990-91.
Mr. Freeman : Price increases experienced by health authorities are measured using the Health Service prices index. Our estimate is that the rise in the index this year over 1988-89 will be about 5.7 per cent.
Health authority allocations for 1990-91 will be announced later this year after decisions on public expenditure for next year have been made.
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Patients' Records
Mr. Fearn : To ask the Secretary of State for Health what plans he has to guarantee the confidentiality of patients' records stored in computers, in the light of the British Medical Association's report stating that doctors cannot guarantee their confidentiality.
Mr. Mellor [holding answer 20 July 1989] : The British Medical Association has frequently pressed the view that the Data Protection Act 1984 whose provisions were implemented in November 1987 puts in jeopardy the confidentiality of patients' health information held on computers.
The Data Protection Act in fact underlines the need for confidentiality of personal information and reinforces the policy long followed in the NHS that patients' records are confidential and staff face disciplinary action in the event of such confidence being breached.
AIDS
Mr. Marlow : To ask the Secretary of State for Health (1) under what powers he can limit foreign AIDS patients from coming to the United Kingdom for free treatment ; and under what circumstances he uses those powers ;
(2) whether he will investigate the prevalence amongst foreign AIDS patients of coming to the United Kingdom for treatment for (a) medical and (b) personal reasons, setting out those personal reasons.
Mr. Mellor [holding answer 27 July 1989] : The National Health Service (Charges to Overseas Visitors) Amendment (No. 2) Regulations 1987 provide that an overseas visitor is exempt from charges for NHS hospital treatment for HIV infection only in relation to initial diagnostic testing and associated counselling. Such a visitor would have to pay charges in the usual way for any subsequent hospital treatment whether as an inpatient or an outpatient. Health authorities are required to make such charges in every case. The question of limiting entry to the United Kingdom is one for my right hon. Friend the Secretary of State for Home Affairs.
We have no plans to investigate the reasons why AIDS patients come to this country for treatment and know of no reason to do so. We are satisfied that the present charging arrangements are a reasonable response to the situation.
Free Prescriptions
Mr. Pike : To ask the Secretary of State for Health what was the number of people entitled to free prescriptions at 31 March 1988, and what is the corresponding figure for the latest date for which figures are available.
Mr. Mellor [holding answer 28 July 1989] : It is estimated that the number of people entitled to free prescriptions at 31 March 1988 was 23.7 million. The corresponding figure for 31 March 1989, the latest date for which information is available, is estimated to have been 23.6 million.
These figures show that despite some far-reaching changes in the social security system and certain changes in the arrangements for exemption from prescription charges that took effect in April 1988, they had little significant impact upon the total number of people entitled to free prescriptions.
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General Practitioners
Mr. Jack : To ask the Secretary of State for Health how many general practitioners were under contract to the National Health Service in 1979 ; how much this cost ; and what were the comparable figures in 1988.
75. Mr. Sumberg : To ask the Secretary of State for Health what is the number of general practitioners now ; and what it was in 1979.
Mr. Mellor [pursuant to his reply, 25 July 1989, c. 669] : In my reply to you on 25 July I quoted figures for 1987 for the cost of general medical services as being £125 million.
This figure that was quoted was incorrect and should have been £1, 250 million.
Blood
Mr. John Evans : To ask the Secretary of State for Health what is the profit made by the Blood Transfusion Service on each 1,000 pints of donated blood bought by private sector health institutions ; what method is used to determine the price at which blood will be sold to the private sector ; how much blood was sold in total for each of the last 10 years to the private sector for all blood groups and the rarest blood groups ; what was this as a percentage of total blood donations ; and if he will make a statement.
Mr. Freeman [pursuant to his reply, 10 July 1989, column 373] : Figures for units of blood issued to non-NHS hospitals which read 84, 361 should have read 80,002.
The percentage for 1987 which read 4.2 should have read 4.0.
NATIONAL FINANCE
Swindon 2 Tax Office
Mr. Campbell-Savours : To ask the Chancellor of the Exchequer on what basis an Inland Revenue official at Swindon 2 tax office communicated information on Suzanne Allen and Yvonne Knight to Swindon police.
Mr. Lilley : I refer the hon. Member to my answer on 28 July at column 1146.
Interest Rates
Mr. Sillars : To ask the Chancellor of the Exchequer what recent representations he has received against his present policy on interest rate levels from organisations representing the self-employed ; and what replies he has sent.
Mr. Ryder : My right hon. Friend and I have received a number of letters from organisations representing the self-employed. The replies explain that everyone has far more to fear from inflation than from a period of higher interest rates.
Mr. Spearing : To ask the Chancellor of the Exchequer whether he has made any estimate of the additional savings available for investment by leading institutions made available by each 1 per cent. increase in base interest rate.
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Mr. Ryder : No. Certainly, higher interest rates encourage saving and reduce lending. But it is by no means true that all United Kingdom savings go to lending institutions, nor that lending institutions obtain their funds solely from United Kingdom savers. More generally, mortgage and other credit rationing is not a feature of the present day financial system. Lenders are constrained by the demand for credit at prevailing interest rates. Interest rates represent the price of money and credit, and naturally their demand falls when the price is raised. The relationship is complex, but the direction and the significance of the effect are clear.
British-Irish Parliamentary Group
Mr. John D. Taylor : To ask the Chancellor of the Exchequer what public funding has been agreed for the proposed British-Irish parliamentary group under the auspices of the Inter-Parliamentary Union.
Mr. Lawson : The British group of the Inter-Parliamentary Union will receive in 1989-90 a grant in aid of £1,575,000. This is substantially higher than the normal annual grant, as the Estimate included provision for the costs of the recent centenary conference which was hosted by the British group in London.
It is hoped that the cost in 1989-90 of creating the proposed British-Irish inter-parliamentary body can be met from sums available within this grant. Funding in future years is presently being discussed in the context of the public expenditure survey.
Incomes
Mr. Nicholas Bennett : To ask the Chancellor of the Exchequer if he will give his latest estimates of net disposable income for each region of the United Kingdom after taking account of mortgage repayments.
Mr. Lilley : The only available regional information on average per capita disposable income after taking account of mortgage repayments is from family expenditure surveys. Data for 1986 and 1987 combined are :
|£ per person per week
---------------------------------------------------------------------
North |64.28
Yorkshire and Humberside |66.72
East Midlands |67.84
East Anglia |69.42
Greater London |96.78
Rest of the South East |85.68
South West |77.48
West Midlands |66.27
North West |71.27
Wales |60.60
Scotland |66.30
Northern Ireland |56.98
United Kingdom |74.16
Data from the Family Expenditure Survey are subject to sampling variations and, therefore, the results for two years have been combined in order to increase the accuracy. It should be noted that in accordance with FES definitions of disposable income the figures include imputed income from owner occupancy. Furthermore, mortgage repayments, but not payments of rent, have been deducted from the disposable income figures.
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Civil Servants
Mr. John D. Taylor : To ask the Chancellor of the Exchequer how many civil servants there are at present ; and what was the equivalent figure 10 years ago.
Mr. Lawson : At 1 July 1989, there were 567,073 staff in post in central Government Departments. This information was published by Her Majesty's Treasury in a press release on 18 September 1989 (No. 72/89). The comparable figure for 1 July 1979 is 723,747.
Overseas Assets
Mr. Austin Mitchell : To ask the Chancellor of the Exchequer whether he will bring up to date the information provided in the reply dated 16 March 1983, Official Report, column 164, concerning the amount of tax collected on income earning and other assets held overseas ; and if he will include in the table an estimate for each year of the total value of such assets, whether or not they have been assessed to tax.
Mr. Lilley [pursuant to his reply, 28 July 1989, c. 1134] : Income tax charged on investment income received from overseas in the year ending 5 April 1987 and taxed under cases IV and V of schedule D is estimated to be in the region of £80 million before allowing for double taxation relief. The amount of such relief could be obtained only at disproportionate cost.
Income tax deducted from foreign company and public revenue dividends paid by or through United Kingdom paying and collecting agents in the year ended 5 April 1989 amounted to £192 million. These figures are, in each case, for the latest available year. Figures for earlier years are not covered by the reply of 16 March 1983 and could be provided only at a disproportionate cost. The value of the assets giving rise to these tax charges is not known.
Mr. Austin Mitchell : To ask the Chancellor of the Exchequer (1) whether he will publish in the Official Report a table showing the estimated number and direct revenue cost of wife's earnings elections in a full year by range of incomes at 1989-90 income and tax levels, together with tables for (i) husband and (ii) wives showing (a) the numbers separately assessed by range of total income of the relevant spouse and (b) the aggregate total income of each spouse and the aggregate investment income of each spouse ; and if he will add a table showing the additional direct revenue cost on the basis of the 1990-91 proposals for the separate taxation of husbands and wives ; (2) whether he will publish in the Official Report a table showing for wives with earned income on Inland Revenue records the estimated distribution of the number of such
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wives in 1989-90 by wife's total income and the couples' joint total income together with the estimated revenue loss from wife's earnings elections and the estimated further loss on the 1990- 91 basis of separate taxation of husbands and wives.Mr. Lilley [pursuant to his replies, 28 July 1989, c. 1119-21] : Available estimates at 1989-90 income levels are in the tables. They are based on a projection of the 1986-87 survey of personal incomes and are, therefore, provisional. The distribution of wives earned income for 1988-89 is also given, because previous estimates have been revised. Further estimates by range of investment income and under independent taxation in 1990-91 could be provided only at disproportionate cost.
Distribution of wives<1> Earned Income 1988-89
Income (lower limit) |Number of wives with |Number of married couples
|earned income in range |(with wives earnings)
|with joint total
|income<2> in range
£ per annum |('000) |('000)
--------------------------------------------------------------------------------------------------------
1 |1,760 |110
2,000 |1,770 |230
4,000 |1,140 |360
6,000 |890 |270
8,000 |370 |330
10,000 |250 |540
12,000 |270 |970
15,000 |130 |1,610
20,000 |50 |1,520
30,000 |30 |720
All ranges |6,660 |6,660
<1>Excluding some wives with earnings below the PAYE reporting limit and Self-employed wives making a
net loss.
<2> Combined income of husband and wife.
Distribution of wives<1> Earned Income 1989-90
Income (lower limit) |Number of wives with |Number of married couples
|earned income in range |(with wives earnings)
|with joint total
|income<2> in range
£ per annum |('000) |('000)
--------------------------------------------------------------------------------------------------------
1 |1,660 |110
2,000 |1,710 |210
4,000 |1,060 |340
6,000 |910 |250
8,000 |470 |280
10,000 |270 |400
12,000 |310 |810
15,000 |180 |1,540
20,000 |80 |1,810
30,000 |30 |930
All ranges |6,680 |6,680
<1> Excluding some wives with earnings below the PAYE reporting limit and Self-employed wives making a
net loss.
<2> Combined income of husband and wife.
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Wife's Earnings Election 1989-90
Income (lowerBy range of joint By range of wife's By range of husband's
total income of married earned income total income<1>
couple
£ per annum |Number |Cost |Number |Cost |Number |Cost
|'000 |£ million |'000 |£ million |'000 |£ million
------------------------------------------------------------------------------------------------
1 |- |- |- |- |- |-
6.000 |- |- |65 |10 |-<2> |-<2>
10,000 |- |- |130 |75 |10 |-<3>
15,000 |- |- |105 |90 |55 |30
20,000 |- |- |65 |110 |175 |135
30,000 |395 |355 |30 |70 |155 |190
All ranges |395 |355 |395 |355 |395 |355
<1> Husband's earned income plus husband and wife's investment income.
<2> Less than £1 million or 1,000.
<3> Less than £5 million.
Mr. Austin Mitchell : To ask the Chancellor of the Exchequer (1) whether he will publish in the Official Report a table showing for those above and those below age 65 years the estimated number of tax units and their tax liability in the current financial year in each range of total income up to a lower limit of £100,000 divided into single persons and one-earner and two-earner married couples together ; and if he will include the number of females within each category and their tax liability ;
(2) whether he will publish in the Official Report tables showing for those above and for those below pensionable age, the estimated number of tax units paying income tax and their income tax liability as a proportion of their total income in a full year at 1989-90 rates, by range of total income up to a lower limit of £100,000 distinguishing between single persons, one-earner and two-earner married couples, and if he will add figures showing what
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effect his proposals for the separate taxation of husbands and wives will have on the numbers of tax units and the proportion paid in tax by (a) one-earner and (b) two-earner married couples.Mr. Lilley [pursuant to his replies, 28 July 1989,c. 1119-22] : Available estimates are given in the tables. All estimates are based on a projection of the 1986-87 survey of personal incomes and are provisional. Under the present system a married woman's income is treated as her husband's and taxed as if it belonged to him. Separate estimates for single women are provided in the tables.
Comparable estimates after the introduction of independent taxation of husbands and wives are not available. However, estimates of gains in 1990- 91 were included in the Inland Revenue press release "Independent Taxation of Husbands and Wife", published on 15 March 1988.
Column 41
Number of Tax Units Paying Income Tax and Tax Liability by Range of Total Income, 1989-90 Married Couples with Wife's Earned Income
Taxpayers Under 65 Taxpayers Aged 65 and
Over
Total Income (Lower |Number of Units Liable to|Tax Liability |Tax Liability As a |Number of Units Liable to|Tax Liability |Tax Liability as a
Limit) |Pay Tax |Proportion of Total |Pay Tax |Proportion of Total
|Income |Income
£ per annum |(000s) |(£ million) |(percentage) |(000s) |(£ million) |(Percentage)
----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
2,000 |- |- |- |- |- |-
3,000 |- |- |- |- |- |-
4,000 |(1) |(2) |1.6 |- |- |-
5,000 |10 |(2) |2.7 |10 |(2) |1.4
6,000 |20 |10 |3.6 |20 |10 |3.0
7,000 |40 |10 |3.1 |20 |10 |4.6
8,000 |90 |40 |5.5 |30 |10 |5.3
9,000 |80 |50 |5.9 |50 |30 |6.3
10,000 |290 |240 |7.5 |90 |90 |8.4
12,000 |730 |970 |9.7 |90 |160 |13.1
15,000 |1,460 |3,130 |12.3 |100 |260 |15.1
20,000 |1,690 |6,170 |15.2 |130 |570 |17.8
30,000 |690 |4,970 |19.6 |60 |520 |23.9
50,000 |180 |3,850 |28.0 |20 |490 |30.9
(1) Less than 5,000
(2) Less than £5 million
Number of tax units paying income tax and tax liability by range of total income, 1989-90
Married couples without wife's earned income
Taxpayers under 65 Taxpayers aged 65 and
over
Total income (lower |Number of units liable to|Tax liability |Tax liability as a |Number of units liable to|Tax liability |Tax liability as a
limit) |pay tax |proportion of total |pay tax |proportion of total
|income |income
£ per annum |(000s) |(£ million |(percentage) |(000s) |(£ million) |(percentage)
----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
2,000 |- |- |- |- |- |-
3,000 |- |- |- |- |- |-
4,000 |60 |10 |1.8 |- |- |-
5,000 |150 |40 |4.6 |40 |(1) |1.0
6,000 |240 |100 |6.1 |90 |20 |3.9
7,000 |230 |140 |8.0 |120 |60 |6.9
8,000 |210 |130 |7.2 |100 |70 |8.2
9,000 |270 |220 |8.5 |80 |80 |10.3
10,000 |600 |710 |10.7 |90 |120 |12.3
12,000 |870 |1,530 |13.0 |90 |190 |16.0
15,000 |860 |2,220 |15.2 |80 |240 |18.1
20,000 |560 |2,300 |17.5 |50 |250 |20.5
30,000 |230 |2,020 |23.3 |30 |300 |26.6
50,000 |100 |2,610 |31.4 |20 |510 |32.9
(1) Less than £5 million
Number of tax units paying income tax and tax liability by range of total income, 1989-90
Single females
Taxpayers under 65 Taxpayers aged 65 and
over
Total income (lower |Number of units liable to|Tax liability |Tax liability as a |Number of units liable to|Tax liability |Tax liability as a
limit) |pay tax |proportion of total |pay tax |proportion of total
|income |income
£ per annum |'000s |£ million |Percentage |'000s |£ million |Percentage
----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
2,000 |70 |-<2> |0.9 |- |- |-
3,000 |370 |70 |5.3 |90 |10 |2.0
4,000 |380 |150 |8.7 |170 |40 |5.4
5,000 |440 |270 |11.1 |160 |80 |8.7
6,000 |510 |430 |13.0 |120 |90 |11.2
7,000 |470 |450 |12.9 |70 |60 |13.0
8,000 |370 |430 |13.7 |60 |70 |14.3
9,000 |210 |280 |14.1 |30 |50 |15.5
10,000 |340 |610 |16.2 |50 |90 |16.7
12,000 |360 |830 |17.2 |50 |130 |19.5
15,000 |260 |760 |17.4 |50 |170 |20.8
20,000 |110 |490 |19.0 |30 |150 |23.3
30,000 |20 |220 |24.6 |10 |140 |27.8
50,000 |-<1> |110 |33.2 |10 |210 |33.7
<1>Less than 5,000.
<2>Less than £5 million.
Number of Tax Units Paying Income Tax and Tax Liability by Range of Total Income, 1989-90 Single Males
Taxpayers Under 65 Taxpayers Aged 65 and
Over
Total Income (Lower |Number of Units Liable to|Tax Liability |Tax Liability As a |Number of Units Liable to|Tax Liability |Tax Liability as a
Limit) |Pay Tax |Proportion of Total |Pay Tax |Proportion of Total
|Income |Income
£ per annum |(000s) |(£ million) |(percentage) |(000s) |(£ million) |(Percentage)
----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
2,000 |70 |(1) |0.8 |- |- |-
3,000 |410 |80 |5.2 |30 |(1) |2.4
4,000 |360 |140 |8.8 |50 |10 |5.2
5,000 |360 |240 |11.8 |50 |20 |9.0
6,000 |380 |320 |12.9 |50 |40 |11.3
7,000 |440 |430 |13.0 |40 |40 |13.6
8,000 |430 |520 |13.9 |30 |40 |14.7
9,000 |370 |520 |14.7 |10 |20 |15.3
10,000 |750 |1,320 |16.1 |40 |70 |17.1
12,000 |680 |1,560 |17.1 |20 |70 |19.6
15,000 |430 |1,270 |17.1 |20 |70 |20.5
20,000 |230 |1,000 |18.3 |20 |110 |22.0
30,000 |70 |550 |23.1 |10 |70 |27.8
50,000 |20 |700 |31.7 |10 |220 |34.6
(1) Less than £5 million.
Mr. Austin Mitchell : To ask the Chancellor of the Exchequer whether he will publish in the Official Report his estimate of the yield from an increase of one pence in the standard rate of tax and in the employees' and employers' national insurance contribution, respectively, in 1989-90 ; and if he will divide the tax figure to show the yield from earned and unearned incomes.
Mr. Lilley [pursuant to his reply, 28 July 1989, c. 1122] : An increase of 1p in the basic rate of income tax is estimated to yield about £1.5 billion in a full year at 1989-90 income levels ; 90 per cent. of the yield is estimated to be from tax on earned income. An increase of 1 percentage point in standard class 1 national insurance contribution rates is estimated to yield employee contributions of £2 billion and employer contributions of £2.25 billion in a full year at 1989-90 income levels.
Mortgage Interest Relief
Mr. Austin Mitchell : To ask the Chancellor of the Exchequer (1) whether he will publish in the Official Report a table showing his estimate of the number of cases in which higher rate relief will be given on mortgage
Column 44
interest payments in the current financial year together with (a) the gross amount of interest qualifying for relief, (b) the amount of higher relief and (c) the number of recipients of working age and their distribution by personal tax category and by range of total income together with the average amount of relief given at the standard and higher rate of tax ; and if he will add his forecast of the additional cost to the Revenue on the basis of this year's figures and rates of tax of mortgage relief as a result of the separate taxation of married couples ;(2) whether he will publish in the Official Report a table showing by range of income and tax status an estimate of the saving to the Exchequer in a full year from abolishing, respectively, the upper earnings limit for national insurance contributions and higher rate relief on mortgage interest.
Mr. Lilley [pursuant to his replies, 28 July 1989c. 1122-36] : Provisional estimates of excess over basic rate relief on mortgage interest in 1989-90, based on a projection of the 1986-87 survey of personal incomes, are given in the table. Estimates for independent taxation are not available.
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It is estimated that the full year yield, at 1989-90 levels, of the abolition of the upper earnings limit for employees' national insurance contributions would be £1.8 billion. Of the £1.8 billion, it is estimated that £0.3 billion would be from single persons, £0.8 billion from one-earner married couples and £0.7 billion from two-earner married couples. A more detailed breakdown of the yield is not available.Estimates are consistent with those made at the time of the Budget and they exclude any behavioural effects of the proposed changes.
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Beneficiaries<1> of higher rate relief on mortgage interest by range of total income: 1989-90
Range of total income |Number of tax units |Gross amount of interest |Cost of excess over basic|Average basic rate relief|Average excess over basic|Number of non-aged tax
|qualifying for relief |rate relief |rate relief |units
(£) |(thousand) |(£ million) |(£ million) |(£) |(£) |(thousand)
----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
Singles
20,001-25,000 |20 |75 |+ |870 |60 |20
25,001-30,000 |65 |205 |20 |770 |300 |65
30,001-40,000 |55 |185 |25 |830 |490 |55
40,001-50,000 |20 |80 |10 |890 |530 |20
Over 50,000 |20 |80 |10 |900 |540 |20
Total |180 |625 |65 |830 |380 |180
One-earner couples
20,001-25,000 |0 |0 |0 |0 |0 |0
25,001-30,000 |80 |250 |15 |750 |200 |80
30,001-40,000 |115 |360 |55 |770 |460 |115
40,001-50,000 |55 |175 |25 |770 |460 |55
Over 50,000 |75 |235 |35 |780 |470 |75
Total |325 |1,020 |130 |770 |400 |325
Two-earner couples
20,001-25,000 |0 |0 |0 |0 |0 |0
25,001-30,000 |95 |255 |15 |680 |140 |90
30,001-40,000 |310 |940 |110 |760 |350 |310
40,001-50,000 |110 |305 |45 |710 |400 |105
Over 50,000 |135 |430 |65 |810 |480 |130
Total |650 |1,930 |235 |750 |350 |635
All
20,001-25,000 |20 |75 |+ |870 |60 |20
25,001-30,000 |240 |710 |50 |730 |200 |235
30,001-40,000 |480 |1,485 |190 |770 |390 |480
40,001-50,000 |185 |560 |80 |750 |430 |180
Over 50,000 |230 |745 |110 |810 |480 |225
Total |1,155 |3,575 |430 |770 |370 |1,140
+=less than £2.5 million
<1>includes about 250,000 tax units who are kept out of higher rate tax by this relief
Mr. Austin Mitchell : To ask the Chancellor of the Exchequer whether he will publish in the Official Report tables showing by range of total income up to a lower limit of £100,000, for those above and those below pensionable age and distinguishing between single persons, one-earner and two-earner married couples, the estimated saving to the Exchequer of abolishing all allowances and reliefs other than the basic single and married allowances ; and if he will provide similar tables on the 1990 basis of separate taxation of husbands and wives.
Mr. Lilley [pursuant to his reply, 28 July 1989, c. 1121] : The total direct revenue yield from abolishing all income tax allowances (other than the basic single and married allowances) and reliefs cannot be estimated reliably.
Mr. Austin Mitchell : To ask the Chancellor of the Exchequer what is his estimate of the earned and unearned income of the top 1 per cent. of taxpayers in the current financial year and of the amount they are expected to pay in national insurance contributions.
Column 46
Mr. Lilley [pursuant to his reply, 28 July 1989, c. 1127] : I refer the hon. Member to my predecessor's reply to the hon. Member for Dunfermline, East (Mr. Brown) of 3 July, Official Report, columns 33-36 for estimates of the earned and investment income of the top 1 per cent. of income tax payers. They are provisionally estimated to pay about £300 million in national insurance contributions in 1989-90.
Mr. Austin Mitchell : To ask the Chancellor of the Exchequer whether he will publish in the Official Report a table showing the number of tax units and amount of earned income in each tax band by range of total income and tax status for those (a) above and (b) below pensionable age.
Mr. Lilley [pursuant to his reply, 28 July 1989, c. 1127] : Available estimates are given in the tables. They are based on a projection of the 1986-87 survey of personal incomes and are provisional. Earned income includes any state or occupational pensions received.
Column 47
Number of tax units liable to tax and amount of earned income by range of total income, 1989-90
Single persons
[NL] Taxpayers aged under Taxpayers aged 65 and
[NL] 65 over
[NL] |Total income (lower |Number of units liable to|Amount of earned income |Number of units liable to
[NL] |limit) |pay tax |pay tax
[NL] |£ per annum |('000s) |(£ million) |('000s)
------------------------------------------------------------------------------------------------------------------------------------------------------------
2,000 |140 |360 |- |-
3,000 |780 |2,550 |120 |410
4,000 |740 |3,000 |220 |820
5,000 |800 |4,030 |200 |860
6,000 |900 |5,330 |170 |780
7,000 |900 |6,250 |100 |530
8,000 |800 |6,330 |90 |500
9,000 |580 |5,150 |50 |270
10,000 |1,090 |11,290 |90 |630
12,000 |1,040 |13,200 |70 |590
15,000 |690 |11,100 |70 |630
20,000 |340 |7,470 |50 |500
30,000 |90 |2,810 |20 |280
50,000 |30 |1,810 |20 |430
All ranges |8,920 |80,680 |1,270 |7,230
Number of tax units liable to tax and amount of earned income by range of total income, 1989-90
Married couple without
wife's earned income
Taxpayers aged under Taxpayers aged 65 and
65 over
Total income (lower |Number of units liable to|Amount of earned income |Number of units liable to|Amount of earned income
limit) |pay tax |pay tax
£ per annum |('000s) |(£ million) |('000s) |(£ million)
------------------------------------------------------------------------------------------------------------------------------------------------------------
2,000 |- |- |- |-
3,000 |- |- |- |-
4,000 |60 |280 |- |-
5,000 |150 |750 |40 |190
6,000 |240 |1,430 |90 |480
7,000 |230 |1,550 |120 |680
8,000 |210 |1,560 |100 |650
9,000 |270 |2,330 |80 |580
10,000 |600 |6,070 |90 |710
12,000 |870 |10,850 |90 |880
15,000 |860 |13,520 |80 |960
20,000 |560 |12,400 |50 |750
30,000 |230 |8,040 |30 |650
50,000 |100 |7,100 |20 |850
All ranges |4,380 |65,880 |790 |7,380
Number of tax units liable to tax and amount of earned income by range of total income, 1989-90
Married Couple with
Wife's Earned Income
Taxpayers aged under Taxpayers aged 65 and
65 over
Total income (lower |Number of units liable to|Amount of earned income |Number of units liable to|Amount of earned income
limit) |pay tax |pay tax
£ per annum |('000s) |(£ million) |('000s) |(£ million)
------------------------------------------------------------------------------------------------------------------------------------------------------------
2,000 |- |- |- |-
3,000 |- |- |- |-
4,000 |<1> |<2> |- |-
5,000 |10 |30 |10 |50
6,000 |20 |120 |20 |130
7,000 |40 |270 |20 |120
8,000 |90 |670 |30 |190
9,000 |80 |720 |50 |390
10,000 |290 |2,980 |90 |860
12,000 |730 |9,310 |90 |960
15,000 |1,460 |23,910 |100 |1,380
20,000 |1,690 |38,360 |130 |2,300
30,000 |690 |23,820 |60 |1,390
50,000 |180 |11,900 |20 |1,040
All Ranges |5,280 |112,090 |620 |8,810
<1> Less than 5,000.
<2> Less than £5 million.
Mr. Austin Mitchell : To ask the Chancellor of the Exchequer whether he will publish in the Official Report a table showing the number of tax units in each tax band by range of total income and tax status for those below pensionable age, his estimate of the cost to the Revenue of the substitution of a single allowance of £3,000 and a
Column 48
married allowance of £6,000 for the present personal income tax allowances, the married women's earnings allowance and the wife's earnings election together with an increase in the rate of income tax from 25 per cent. to 35 per cent. on total incomes between £5,500 and £13,000 for single persons and £11,000 and £18,500 for married persons.Mr. Lilley [pursuant to his reply, 28 July 1989, c. 1127] : Estimates of the direct change in income tax liability are given in the tables. They assume the following allowance and rate structure : (
(i) single person's allowance of £3,000 ;
(ii) married man's allowance of £6,000 ;
(iii) abolition of wife's earned income allowance and wife's earnings election ;
(iv) a basic rate tax of 25 per cent. on taxable income between £1 and £5,500 for single persons
£1 and £11,000 for married couples
(v) a higher rate tax of 35 per cent. on taxable income between £5,501 and £13,000 for single persons
£11,001 and £18,500 for married couples
(vi) a higher rate tax of 40 per cent. on taxable income above £13,000 for single persons
£18,500 for married couples
No allowance is made for possible behavioural effects or the consequential effects on capital gains tax. All estimates are based on a projection of the 1986-87 survey of personal incomes and are provisional. Further information could be provided only at disproportionate cost.
Number of tax units aged under 65, by range of total income, and
cost/yield of changes to income tax allowances and higher rates of
tax, 1989-90 Single Persons
Total income (lower |Number of units liable to|Cost(-)/Yield(+) of
limit) |pay tax in 1989-90 |proposed regime
£ per annum |('000s) |(£ million)
--------------------------------------------------------------------------------------------------------
2,000 |140 |<1>
3,000 |780 |-40
4,000 |740 |-40
5,000 |800 |-60
6,000 |900 |-60
7,000 |900 |-70
8,000 |800 |-60
9,000 |580 |-20
10,000 |1,090 |80
12,000 |1,040 |280
15,000 |690 |360
20,000 |340 |420
30,000 |90 |160
50,000 |30 |50
All ranges |8,920 |1,000
<1> Cost of less than £5 million.
Married couples without wife's earned income
Total income (lower |Number of units liable to|Cost(-)/Yield(+) of
limit) |pay tax in 1989-90 |proposed regime
£ per annum |('000s) |(£ million)
--------------------------------------------------------------------------------------------------------
2,000 |- |-
3,000 |- |-
4,000 |60 |-10
5,000 |150 |-40
6,000 |240 |-80
7,000 |230 |-80
8,000 |210 |-70
9,000 |270 |-100
10,000 |600 |-240
12,000 |870 |-350
15,000 |860 |-330
20,000 |560 |-20
30,000 |230 |100
50,000 |100 |40
All ranges |4,380 |-1,180
Married couples with wife's earned income
Total income (lower |Number of units liable to|Cost(-)/Yield(+) of
limit) |pay tax in 1989-90 |proposed regime
£ per annum |('000s) |(£ million)
--------------------------------------------------------------------------------------------------------
2,000 |- |-
3,000 |- |-
4,000 |<1> |<2>
5,000 |10 |<2>
6,000 |20 |<3>
7,000 |40 |10
8,000 |90 |10
9,000 |80 |10
10,000 |290 |30
12,000 |730 |90
15,000 |1,460 |300
20,000 |1,690 |1,180
30,000 |690 |1,150
50,000 |180 |430
All ranges |5,280 |3,210
<1> Less than 5,000.
<2> Cost of less than £5 million.
<3> Yield of less than £5 million.
Mr. Austin Mitchell : To ask the Chancellor of the Exchequer (1) whether he will publish in the Official Report a table showing for (a) one- earner and (b) two-earner married couples the number of tax units in each tax band by range of total income and tax status for those (i) above and (ii) below pensionable age and his estimate of the yield to the revenue in the current financial year from abolishing wife's earnings election and raising the higher rate of tax to 40 per cent. on incomes of married couples with total incomes between £18,500 and £27,000, 45 per cent. between £27,000 and £37,000, 50 per cent. between £37,000 and £50,000, 55 per cent. between £50, 000 and £250,000 and 60 per cent. above £250,000 ;
(2) whether he will publish in the Official Report a table showing for single persons the number of tax units in each tax band by the range of total income and tax status for those above and below pensionable age, his estimate of the yield to the Revenue in the current financial year from an increase in higher rate tax for single persons to 40 per cent. on total incomes between £13,000 and £19,000, 45 per cent. between £19,000 and £26,000, 50 per cent. between £26, 000 and £34,000, 55 per cent. between £34,000 and £125,000 and 60 per cent. above £125,000.
Mr. Lilley [pursuant to his replies, 28 July 1989, c. 1127-28] : Estimates of the direct increase in income tax liability are given in the tables. No allowance is made for possible behavioural effects or the consequential effects on capital gains tax. All estimates are based on a projection of the 1986-87 survey of personal incomes and are provisional. Further information could be provided only at disproportionate cost.
Column 51
Number of tax units, by range of total income, and yield from changes to higher rates of tax, 1989-90
Single persons
Taxpayers aged under Taxpayers aged 65 and
65 over
Total income (lower limit |Number of units liable to|Yield |Number of units liable to|Yield
) £ per annum |pay tax in 1989-90 |pay tax in 1989-90
|('000s) |(£ million) |('000s) |(£ million)
------------------------------------------------------------------------------------------------------------------------------------------------------------
2,000 |7,770 |- |1,110 |-
15,000 |690 |40 |70 |20
20,000 |340 |220 |50 |50
30,000 |90 |170 |20 |50
50,000 |30 |270 |20 |140
All Ranges |8,920 |700 |1,270 |260
Married couples without wife's earned income
Taxpayers aged under Taxpayers aged 65 and
65 over
Total income (lower |Number of units liable to|Yield |Number of units liable to|Yield
limit) £ per annum |pay tax in 1989-90 |pay tax in 1989-90
|('000s |(£ million) |(000s) |(£ million
------------------------------------------------------------------------------------------------------------------------------------------------------------
2,000 |2,630 |- |610 |-
15,000 |860 |- |80 |-
20,000 |560 |30 |50 |10
30,000 |230 |120 |30 |20
50,000 |100 |240 |20 |70
All Ranges |4,380 |390 |790 |100
Married couples with wife's earned income
Taxpayers aged under Taxpayers aged 65 and
65 over
Total income (lower |Number of units liable to|Yield |Number of units liable to|Yield
limit) £ per annum |pay tax in 1989-90 |pay tax in 1989-90
|('000s) |(£ million |('000s) |(£ million)
------------------------------------------------------------------------------------------------------------------------------------------------------------
2,000 |1,260 |- |310 |-
15,000 |1,460 |- |100 |-
20,000 |1,690 |40 |130 |10
30,000 |690 |430 |60 |40
50,000 |180 |700 |20 |100
All Ranges |5,280 |1,170 |620 |150
Mr. Austin Mitchell : To ask the Chancellor of the Exchequer whether he will publish in the Official Report a table showing the number of tax units in each tax band by range of total income and tax status for those (a) above and (b) below pensionable age and his estimate of the yield from making investment income chargeable to national insurance contributions on the same basis as earned income ; and if he will include the number of tax units and total investment income in each case.
Mr. Lilley [pursuant to his reply, 28 July 1989, c. 1127-28] : The hon. Member's question provides insufficient information on which to base an answer.
Mortgages
Mr. Austin Mitchell : To ask the Chancellor of the Exchequer whether he will publish in the Official Report a table showing for each year since 1979 the increase in mortgage funds for housing together with the increase in the value of the houses sold by reference to stamp duty or otherwise.
Mr. Lilley [pursuant to his reply, 28 July 1989, c. 1134] : Information on loans for house purchase is published in table 9.4 of "Financial Statistics". Information for earlier years appears on the Central Statistical Office databank
Column 52
which is available in the House of Commons Library. The table shows the year-on-year increase in the total value of residential property sold since 1979.
|Per cent.
------------------------------
1980 |13
1981 |15
1982 |14
1983 |23
1984 |14
1985 |11
1986 |15
1987 |26
1988 |40
Pensions
Mr. Austin Mitchell : To ask the Chancellor of the Exchequer whether he will publish in the Official Report (i) his estimate of the employers' notional contribution to notionally funded and unfunded schemes, (ii) figures for the Civil Service showing the percentage contribution made by the Government and their employees and (iii) his best estimate of the proportional split between sources of pension income in the cases quoted in sub-paragraphs (a)
Column 53
and (b) of paragraph 22 of the Inland Revenue paper, using as a basis the information given in his answer of 11 November 1988, Official Report, column 235.Mr. Lilley [pursuant to his reply, 28 July 1989, c. 1136] : Available information is as follows :
(i) Employers' notional contributions to notionally funded and unfunded pension schemes are published in table 4.10 of the 1989 edition of the "United Kingdom National Accounts".
(ii) The Civil Service pension scheme is not funded. The costs of benefits are met as they arise from the civil superannuation vote. The Government Actuary's Department has costed employers' contributions at 17 per cent. of salaries. Employees pay contributions at 1 per cent. of salary, mainly for widowers-widows benefits.
(iii) Sources of income are published in the table referred to at (i). The full analysis requested would involve disproportionate cost.
Stamp Duty
Mr. Austin Mitchell : To ask the Chancellor of the Exchequer whether he will provide an up-to-date estimate of the yield of stamp duty on the sale of domestic premises in the current financial year and in 1988-89, with a breakdown by regions where possible.
Mr. Lilley [pursuant to his reply, 28 July 1989,c. 851] : The table gives the estimated yield from stamp duty on residential property in 1988-89, broken down by regions. Estimates for Scotland and Northern Ireland are very tentative since the information available does not distinguish receipts from conveyances of residential property in these regions.
Column 54
Region |£ million
---------------------------------------------
North |15
Yorkshire and Humberside |35
East Midlands |50
East Anglia |50
South East |375
Greater London |255
South West |130
West Midlands |55
North West |50
Wales |25
Scotland |40
Northern Ireland
|-------
|1,080
The forecast of stamp duty receipts in 1989-90, which was published in the 1989-90 "Financial Statement and Budget Report", included a forecast of £1,000 million for stamp duty on residential property. A regional breakdown of this figure is not available.
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