Insurance Premium Tax "a raid on the responsible"

ABI reiterates call against further hikes

Insurance Premium Tax "a raid on the responsible"

Insurance News

By Terry Gangcuangco

“Inexcusable” was how Association of British Insurers (ABI) director general Huw Evans described an increase in Insurance Premium Tax (IPT), as the trade body reiterates its call against further IPT hikes. 

Relaunching its #IPTsUnfair campaign, the ABI has released a new short film illustrating what it believes the levy signifies. The latest online material depicts an IPT inspector handing fines to individuals engaged in responsible acts such as securing their properties and obeying signs about dog leads.

“The Chancellor has a difficult task ahead of him this Budget but he should realise a raid on the responsible is the wrong way to balance the books,” said Evans, referring to Philip Hammond. “People buy insurance because it is a legal requirement or because they are wisely protecting their homes, businesses, families, and health. Punishing these people with another tax rise would be inexcusable.

“Given the need to fund the NHS it would be particularly counter-productive to make health insurance even more expensive, forcing more people to rely on over-stretched NHS resources.”

Citing data from the Centre for Economic and Business Research, the ABI said the three rate increases since 2015 have pushed 200,000 people away from health insurance and on to NHS care.

 

 

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