IPT increase puts UK businesses 'at odds with Europe'

clock • 1 min read

Medicash has hit back at chancellor George Osborne's claim that the hike in insurance premium tax (IPT) on private medical insurance brings the UK into line with Europe.

The cash plan provider has highlighted that out of 29 EU countries, twelve have exempt healthcare from IPT whereas three do not have IPT at all.

Only six have IPT on healthcare above 6%: Belgium (9.25%), France (9%), Greece (10%), Slovenia (6.5%), Slovakia (9.5%) and the UK (9.5%). 

Sue Weir, chief executive of Medicash said: "Businesses in the UK need to realise that this tax puts them at a disadvantage in terms of growth and profits and the health and wellbeing of their employees if they are unable to cover the rise in providing health insurance for those employees.

"By putting the UK at a tax disadvantage to Europe the high level of IPT will impact negatively on UK business productivity and both the physical and mental health of our employees."

Further reading 

What does IPT mean for the future of cash plans?

Best foot forward for IPT hike

The IPT earthquake sending shockwaves to PMI sector

 

More on PMI

Sunak and Starmer debate NHS
PMI

Sunak and Starmer debate NHS

“The NHS is broken, how long will it take to fix it?”

Cameron Roberts
clock 05 June 2024 • 3 min read
Spectrum.Life rebrands to health and wellbeing provider
PMI

Spectrum.Life rebrands to health and wellbeing provider

Launches new products and services

Jaskeet Briah
clock 23 May 2024 • 1 min read
Premier Choice Healthcare acquires Central Healthcare
PMI

Premier Choice Healthcare acquires Central Healthcare

Third acquisition in three months

Jaskeet Briah
clock 22 May 2024 • 1 min read

Highlights

COVER Survey: Advisers damning of protection insurer service levels

COVER Survey: Advisers damning of protection insurer service levels

"It takes longer than ever to get underwriting terms"

John Brazier
clock 12 October 2023 • 5 min read
Online reviews trump price for young people selecting life and health cover

Online reviews trump price for young people selecting life and health cover

According to latest ReMark report

John Brazier
clock 11 October 2023 • 2 min read
ABI members with staff neurodiversity policy nearly doubles

ABI members with staff neurodiversity policy nearly doubles

Women within executive teams have grown to 32%

Jaskeet Briah
clock 10 October 2023 • 3 min read