Frank Field – 2014 Parliamentary Question to the HM Treasury

The below Parliamentary question was asked by Frank Field on 2014-06-30.

To ask Mr Chancellor of the Exchequer, what the income to the National Insurance Fund would be if all people over the state retirement age paid contributions.

Mr David Gauke

HM Revenue & Customs (HMRC) currently estimate that abolishing the national insurance exemption for people of pensionable age in 2014/15 would raise around £950m in NIC receipts.

This figure is based on employee and self employed national insurance contributions (Classes 1, 2 and 4).

The estimate is based on the latest available Survey of Personal Incomes (2011/12), which has been projected in line with Budget 2014 economic assumptions.

The estimate also includes a behavioural adjustment to reflect changes in labour supply for this age group which are subject to some uncertainties.