Insurance Premium Tax increase announced
The Government has announced it will raise the tax it collects through Insurance Premium Tax, from 9.5% to 10%.
While raising the tax collected through insurance premiums is unwelcome news for all our customers – much like a rise in VAT would be, we can be pleased that the industry has done its part to persuade the Government not to implement a more significant increase.
The money raised by this additional 0.5% will be used to enhance flood defences in Leeds, York, Calder Valley and Cumbria and for maintenance of existing defences.
This is a good step forward which shows real long-term planning, and will also hopefully help decrease the scenes of disruption we are seeing more regularly up and down the country from severe weather.
If you have any further questions about your policy please contact your Risk and Insurance Consultant.