UK government to challenge EU over insurance rules
The UK government is set to challenge the EU commission head-on with regards to solvency II rules which are set to be introduced to the European marketplace in the short term. The UK government believes that these "over conservative" solvency rules will see UK insurance companies having to shore up their reserves by up to £50 billion. There will obviously be a cost to this additional reserve requirement, something which is likely to be met by customers.
The UK has one of the most competitive insurance markets in Europe and yet again many people are pointing the finger at the EU commission, which is determined to crack the UK financial markets and bring them under the regulatory control of the European Union. In effect this has already happened with the various treaties signed by European member states but the UK government is set to tackle this particular issue head-on as it will have a detrimental effect on the UK insurance sector, pensioners and future rates of investment return.
The issue of increasing reserve capital is a direct consequence of the credit crunch which saw a number of "solid assets" collapse like a pack of cards once the financial system began to seize up.
Pensioners could be given ‘death estimate’
22/04/2014 In a bid to get pensioners to stretch their savings out long enough to live the rest of their lives, retirees could be given ‘guidance’ on how long they have left to live. The idea is that people will be given a ‘broad-brush’ estimate as to how long they might live, ultimately allowing people to plan their finances more effectively. The Pensions Minister, Steve Webb cla...Read More
George Osborne looking to reduce budgets by 40%
George Osborne, the Chancellor of the Exchequer, has this weekend sent out letters to all ministers of the coalition government asking them to put together cost-saving plans of 25% and potential cost savings of up to 40% for their departments. It is only when George Osborne is in receipt of these very suggestions that he will look at the specifics for each department and arrive at a figure which w...Read More
Cash for gold firms to be investigated by the OFT
The Office of Fair Trading (OFT) has today announced an investigation into the various cash for gold firms trading in the UK. Since the price of gold hit record highs we are seeing more and more adverts on the TV and in the popular press offering the chance to sell unwanted gold jewellery for cash. However, recently the OFT has received a spate of complaints about the price some customers have rec...Read More
Travel insurance urged for skiers
People heading off on skiing holidays have been urged to take a moment to think about their travel insurance requirements.InsureandGo has warned travellers that they should ensure they have adequate travel insurance policies in place when heading to the slopes this winter.Spokesman Perry Wilson also warned skiers to make sure that they take proper precautions when on piste this winter and do not d...Read More
Fourth-quarter economic data disappoints market
While strictly speaking the UK economy has now moved out of recession, unless the figures released by the Office for National Statistics are amended down over the next few weeks, the improvement of 0.1% was far short of the 0.4% expansion expected by analysts. This indicates that the UK economic upturn is far weaker than even the most pessimistic of analysts had expected and a small revision by th...Read More