East Antrim MLA Roy Beggs has criticised government plans to raise Insurance Premium Tax from 10 per cent to 12 per cent next June, as “a threat to road safety as there are fears that this rise could lead to more uninsured drivers”.
Mr Beggs also said that “Buildings and Contents insurance should be treated as an essential, but there could be those, especially in less affluent households, who may wonder if it is a luxury they can no longer afford”.
“Insurance Premium Tax was introduced in 1994 at 2.5 per cent, then raised to 4 per cent in 1987, 5 per cent in 1999, 6 per cent in 2015, 9.5 per cent in 2015 and 10 per cent this year so average families have seen their insurance premiums rise by an average of £90 since 2015”.
Mr Beggs described Insurance Premium Tax as “an essential to families and that any necessary tax increase should be on luxury items rather than essentials.”
