General Insurance Article - IPT hike could hit UK customers’ pockets

 “Although IPT is not a particularly high profile tax, it applies to insurance premiums paid by individuals who have, for instance, motor, home and contents insurance (IPT does not apply to life insurance). It is also paid by most businesses, whether small or large, on their corporate insurance premiums. The increase in IPT is likely to be passed on to policyholders by insurance companies. This is unlikely to be a popular measure, but is the first really significant increase in the standard rate of IPT since it was introduced in 1996. It brings the UK rate more into line with premium tax rates in other European Union countries