Robert Halfon – 2014 Parliamentary Question to the HM Treasury

The below Parliamentary question was asked by Robert Halfon on 2014-04-25.

To ask Mr Chancellor of the Exchequer, if he will estimate the potential cost to the public purse of raising the national insurance personal allowance for 2015-16 to (a) £10,000 and (b) £12,300.

Mr David Gauke

Raising the National Insurance Contributions thresholds for individual earners (The Primary Threshold and Lower Profits Limit) in 2015-16 to £10,000 is estimated to cost in the region of £5 billion. Raising them to £12,300 is estimated to cost around £10.5 billion.

These estimates are based on the 2011-12 Survey of Personal Incomes, projected to 2015-16 using economic assumptions consistent with the Office for Budget Responsibility’s March 2014 economic and fiscal outlook.