REVEALED: Income in Peterborough significantly below the rest of the country, HMRC figures show

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Taxpayers in Peterborough earn significantly less than those across the UK, according to newly-released figures from HMRC, despite the average income increasing by over £4,000 in five years.

Data for 2015-16 shows that the average taxpaying family (two adults) in Peterborough brought in £27,500 over the year, with some taxed on a combination of income from regular jobs, self-employment and pensions.

It means that the average total income for taxpayers in the area was 18% lower than the UK average of £33,400.

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The HMRC data only includes those who pay income tax. As the tax-free personal allowance increased from £6,475 in 2010-11 to £10,600 five years later, an estimated 4,000 fewer workers were taxed in Peterborough in 2015-16.

With fewer people on lower paid jobs included in HMRC's most recent data, average earnings went up by £4,100 at the end of the five-year period.

Taxpayers in Peterborough paid an average £3,950 in income tax over 2015-16. With 88,000 people taxed in the area, it amounted to a total contribution of £350 million to government coffers.

The average income of taxpaying families in Peterborough was lower than across the East of England, where the mean was £35,000.

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The majority of taxable income came from paid employment. In addition, 8,000 people paid tax on money earned through self-employment, including those who work for themselves full-time or who run a business alongside a main job.

The London borough of Kensington and Chelsea had the UK's highest average income, with 74,000 taxpayers making an average of £178,000.

In contrast, the lowest average income was in Blackpool, at £22,300.