Adrian Smith, Global Head of IPT, KPMG, comments on the Chancellor's decision to raise the rate of Insurance Premium Tax by 0.5%.
Adrian Smith, Global Head of IPT, KPMG, comments on the decision to raise the rate of Insurance Premium Tax by 0.5%, saying:
“With the recent floods fresh in the mind, there is an obvious political rationale for the Chancellor ring fencing the money raised by increasing IPT. The rise by 0.5% to 10% appears small, but the rate of IPT has risen 66% since last summer. This will be worrying for insurers but could also mean individuals and businesses may fail to take out or renew essential, and often, compulsory insurances.”
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