Written question asked by Michael Jack (Conservative), in the House of Commons. It was due for an answer on Wednesday, 11 June 1997. It was answered by Baroness Primarolo (Labour) on Wednesday, 11 June 1997 on behalf of the Treasury.

Treasury

Question: How much reserve would be foregone by the introduction of a starting rate of income tax at 10p on the first (a) £1,000, (b) £1,500, (c) £2,000, (d) £2,500 and (e) £3,000 of taxable income to replace its first £1,000, £1,500, £2,000, £2,500, £3,000 respectively, of its current 20p income tax band, while leaving all other tax rate bands and allowances unchanged. - Including table. (Holding answer 2 June 1997).

Answer: Mr. Jack: To ask the Chancellor of the Exchequer how much reserve would be forgone by the introduction of a starting rate of income tax at 10p on the first (a) £1,000, (b) £1,500, (c) £2,000, (d) £2,500 and (e) £3,000of taxable income to replace its first £1,000, £1,500, £2,000, £2,500, £3,000 respectively, of its current 20p income tax band, while leaving all other tax rate bands and allowances unchanged. [1860] Dawn Primarolo: [holding answer 2 June 1997]: The estimated full-year costs, based on the right hon. Member's assumptions and assuming that all other allowances and tax rates in 1997-98 are left unchanged, are given in the table: Ô Ý+ p-p-p-Ý Ý ÔŒ _________________________________________________________________________________________________. New 10p starting rate on first Full year cost at 1997-98 income levels (£ billion) £1,000 2.5 £1,500 3.6 £2,000 4.8 £2,500 5.9 £3,000 6.9 _________________________________________________________________________________________________.

Secondary information