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The UK Insurance Growth Action Plan
The plan identifies actions in five key areas where government and industry, working with other partners, should focus attention:
The measures in the plan are the product of government working in partnership with the insurance industry, identifying actions that will maintain and strengthen the sector’s competitive edge. The government is committed to ensuring that the UK insurance sector is equipped for success in the global race.
TheCityUK to work with Government on Insurance Growth Action Plan
Insurance industry announces it will invest £25 billion in infrastructure as government publishes UK plan
A new national infrastructure plan containing information on over £375 billion of planned public and private sector infrastructure investment has been announced by the government. The plan sets out investment for energy, transport, flood defence, waste, water and communications infrastructure up to 2030 and beyond.
It comes on the day that six major insurers announced plans to invest £25 billion collectively in UK infrastructure over the next five years.
Chief Secretary to the Treasury Danny Alexander said: "The announcement today that six major insurers will invest £25 billion over the next five years is a massive vote of confidence in the UK economy. It supports the wider £100 billion public investment to rebuild Britain over the next seven years that I announced at the Spending Round 2013. Underground, overground, on shore, offshore, wired or wireless, tarmac or train track. You name it, we’re building it right now.
"This is great news for the people of the UK because after years of neglect, the UK’s energy, road, rail, flood defence, communications and water infrastructure needs renewal. It will boost the UK economy creating jobs and making it easier to do business. It will also make the UK a better place to live for everyone who calls it their home."
According to IPE, the document said that, in the wake of concluded negotiations at the European level over Solvency II – a likely reference to the recent agreement over the Omnibus II Directive – the industry now had sufficient clarity to make long-term commitments. “In line with the government’s broader transposition policy", the document continued, “and given that Solvency II is maximum harmonising, implementation will be fully consistent with the Directive and not go beyond it – implementation will be through a direct copy-out approach where possible, avoiding gold plating".
Long-term investment package made possible by Solvency II and Omnibus II - comments by Sharon Bowles MEP
The Government will today unveil its National Infrastructure Plan (NIP), which includes an estimated £375 billion of investment in transport, energy, communications, and water projects, as well as the selling off of its 40 per cent stake in Eurostar.
In concert with the Government's announcement the insurance industry is today unveiling plans for £25 billion of investment in UK infrastructure projects. Insurers Aviva, L&G, Standard Life, Prudential, Friends Life, and Scottish Widows will be able to invest in infrastructure following changes in EU rules pushed for by the European Parliament's Economic and Monetary Affairs Committee (ECON).
Commenting, Sharon Bowles MEP, who chairs the ECON Committee, said: "Today's announcement by the insurance industry has been made possible because of the changes we made to Solvency II and Omnibus II in the European Parliament. Infrastructure projects in the UK need as much investment as possible and allowing insurance companies to invest is a key step forward in getting projects finished.
"I and colleagues in the European Parliament have worked on this insurance legislation for many years and we recently completed negotiations in an 8 hour late night session. Today's announcement makes it all worthwhile."
Otto Thoresen, Director General, Association of British Insurers, commented: "Insurers have a key role to play in contributing to the UK’s economic growth, as providers of long-term capital investment. Providing capital for infrastructure projects will help drive a competitive, healthy and resilient UK economy."