The insurance and long term savings sector is one of the UK’s most productive industries, adding more than £40 billion a year to the economy and helping Britain thrive, a major conference will hear this week. It is also the world’s leading exporter of insurance and long term savings, selling £13 billion more to the rest of the world than we buy from them.
New independent analysis by economists Volterra, commissioned by the Association of British Insurers (ABI) and published ahead of a flagship Brexit conference, shows:
- Individual workers in the industry are around twice as productive as workers in sectors such as construction and manufacturing, each contributing between £135,000 and £150,000 to the economy each year.
- The industry provides high quality jobs across the country. Of the 309,000 workers in the sector, 86% work full-time – significantly higher than the UK average of 67%. Three quarters are employed outside London.
- The industry is a national success story. In 2014, Britain exported more in insurance and long term savings than any other country - almost double that of our nearest rival the US.
- While more than £3.5 billion of UK insurance exports go to the European Union, the United States accounts for £4 billion and the rest of the world £5.2 billion.
- Our industry has a huge presence overseas. ABI members operate in more than 30 countries outside Europe with the United States, China, Japan, Singapore and India the largest of these.
Huw Evans, ABI Director General, says:
“The insurance and long-term savings industry is a jewel in the UK’s crown – leading the world in exporting insurance and pension services and helping Britain thrive. The sector provides hundreds of thousands of quality careers, three quarters of which are outside of London. Ensuring the continuing success of such a productive sector is something the UK representatives should have at the front of their minds during negotiations with the EU. The right Brexit deal for insurers benefits the UK economy, thousands of UK employees and all the other businesses the sector supports on a daily basis.”
-Ends-
Notes for Editors
The ABI’s conference – Brexit: The Road Ahead is on Tuesday 27th June 2017.
Volterra worked with the ABI to understand the economic contribution of the insurance industry. Volterra’s analysis was based on publically available data from the ONS and the OECD, and included analysis of employment, GVA and exports.
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