Commenting on today’s publication of the Discount Rate consultation, Huw Evans, Director General of the Association of British Insurers, said:
“This consultation document is an important step forward in helping get a fair, modern way to set the Discount Rate which works for claimants, consumers, businesses and taxpayers. Only a month after the setting of an absurdly low rate, the Government has moved swiftly to consider reform and we need to see this urgency maintained with a firm commitment to legislate in the Prisons & Courts Bill currently before Parliament. As the only major economy in the world with a negative rate, the UK will face significantly increased insurance and taxpayer costs until the system is reformed and a new rate can be set.”