The Rt. Hon. Sir John Major KG CH

Prime Minister of Great Britain and Northern Ireland 1990-1997

1983-1987 Parliament

Mr Major’s Written Parliamentary Answer on National Insurance – 29 January 1987

Below is the text of Mr Major’s written Parliamentary Answer on National Insurance on 29th January 1987.

Dr. McDonald Asked the Secretary of State for Social Services if he will estimate the revenue effect of the national insurance contribution ceiling for employees being abolished for 1987-88.

Mr. Major It is estimated that if the upper earnings limit for employees’ class 1 national insurance contributions were abolished in 1987-88, but retained for the contracted out rebate, the additional contribution for the full year would be £930 million.

This figure is based on the assumptions used in the “Report by the Government Actuary on the drafts of the Social Security Benefits Up-rating (No. 2) Order 1986 and the Social Security (Contributions, Re-rating) (No. 2) Order 1986”.