Budget 2017: IPT increase could cause people to 'give up on PMI'

clock • 3 min read

The Health Insurance Group has warned against any further increases to insurance premium tax (IPT) as the Spring Budget takes place next week.

Brett Hill, managing director of The Health Insurance Group, said that a further increase in next week's Spring Budget could "cause people to give up on private medical insurance and fall back to the NHS which is already under resourced and struggling to cope." Hill quoted ABI research which found that further increases to IPT could add a further £52.50 to the cost of the average private medical insurance policy.   In less than two years the Government has increased IPT three times. IPT is now at 12%.  Hill continued: "Although IPT is lower than many other European countries, the g...

To continue reading this article...

Join COVER for free

  • Unlimited access to real-time news, key trend analysis and industry insights.
  • Stay on top of the latest developments around health and wellbeing, diversity and inclusion and the cost of living crisis.
  • Receive breaking news stories straight to your inbox in the daily newsletter.
  • Members only access to monthly programme 'The COVER Review'
  • Be the first to hear about our CPD accredited events and awards programmes.

Join now

 

Already a Cover member?

Login

More on Regulation

IPT receipts hit £4.53bn in H1 2026/27

IPT receipts hit £4.53bn in H1 2026/27

Down £11m year-on-year

Jaskeet Briah
clock 21 October 2026 • 2 min read
IHT receipts reach £4.7bn ahead of Autumn Budget

IHT receipts reach £4.7bn ahead of Autumn Budget

Increase of £300m from the year prior

Isabel Baxter
clock 21 October 2026 • 2 min read
AI blurring the line between regulated and unregulated financial advice: FCA

AI blurring the line between regulated and unregulated financial advice: FCA

Risks of consumer harm, cyber vulnerabilities and operational failures

Jack Roach
clock 19 October 2026 • 4 min read