Members of the Association of British Insurers (ABI) contributed £17.2 billion to the UK economy in the form of tax for 2021-22.
According to the total tax contribution survey conducted by PwC for the trade body, the insurance and long-term savings industry supplied 2.1% of the government’s tax receipts for the period. The study also showed that the sector contributed 6.9% more in tax in 2021-22 than in 2019-20.
The ABI said the sum is its members’ highest contribution since the study began in 2007.
“With these latest record figures, there is no doubt that the sector is key in not only securing the futures of everyone in the UK, but also the economy as well,” commented general insurance policy director Mervyn Skeet. “Given the turbulence in the market over the past year, these results prove that, when faced with challenging conditions, the sectors’ tax and wider economic contribution remains significant.
“There are both challenges and opportunities in the year ahead. We look forward to seeing the benefits of the Solvency II reform and continue to ask for the introduction of key global tax reforms to include the latest international guidance and be consistent with other jurisdictions.”
The total tax contribution report can be accessed on the ABI’s website.
