Written question asked by Tim J Smith (Conservative), in the House of Commons. It was due for an answer on Thursday, 13 March 1997. It was answered by Michael Jack (Conservative) on Thursday, 13 March 1997 on behalf of the Treasury.

Treasury

Question: What proportion of gross domestic product (a) was in 1978-79 and (b) he estimates will be in 1997-98 accounted for by income tax. - Inc figs.

Answer: Mr. Tim Smith: To ask the Chancellor of the Exchequer what proportion of gross domestic product (a) was in 1978-79 and (b) he estimates will be in 1997-98 accounted for by income tax. [19891] Mr. Jack: The ratio of income tax receipts to GDP was 11 per cent. in 1978-79. The Budget forecast of the corresponding ratio in 1997-98 is 9 per cent. Over this period, the basic rate of income tax will have fallen from 33 per cent. to 23 per cent.--the lowest headline rate for nearly 60 years.

Secondary information