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Treasury

Answer

Mr. Clappison: To ask the Chancellor of the Exchequer (1) how many self-employed persons paid (a) only class 2 National Insurance Contributions and (b) class 2 and class 4 Contributions in 1999-2000; and what estimate he has made of the same figures for 2000-01; [144833] (2) what the proceeds were of (a) class 2 and (b) class 4 National Insurance Contributions in (i) 1998-99 and (ii) 1999-2000; and what estimate he has made of the same figures for 2000-01. [144832] Dawn Primarolo: The reform of class 2 and class 4 National Insurance Contributions (NICs) will reduce the burden on low earners and encourage business start-ups. In 1999-2000, around 0.7 million self employed are estimated to be liable to pay only class 2 and 1.8 million are estimated to be liable to pay class 2 and class 4 NICs. For 2000-01 around 0.2 million are estimated to be liable to pay only class 2 and some 2.3 million are estimated to be liable to class 2 and class 4 NICs. Theses estimates are based on the survey of personal incomes. Estimates for class 2 and class 4 NICs receipts in 1998-99 to 2000-01 for the United Kingdom are given in the table. £ million _________________________________________________________________________________________________. UK NICs receipts Year Class 2 Class 4 Total 1998-99 680 960 1,640 1999-2000 730 990 1,720 2000-01 350 1,040 1,390 _________________________________________________________________________________________________. These estimates were provided by the Government Actuary's Department.

Secondary information

Type

Written question

Reference

365 c528-9W;365 c530-1W; 144833;144832

Session

2000-01

Subjects

National insurance contributions Self-employed

Contains statistics

Yes

Link

View this Written question on www.publications.parliament.uk