Vol. 476 No. 7
75 Mr. S. Brennan asked the Minister for Finance the position regarding the 2 per cent levy on insurance premiums; the justification for its continued imposition; if he intends to set a cut-off point for the levy; and if he will make a statement on the matter. [8179/97]
The 2 per cent non-life insurance levy yielded more than £28 million for the Exchequer in 1996, and the Deputy will appreciate that these moneys make a significant contribution to funding the Government's important economic and social programme. The Government attaches a high priority to targeting further tax reforms towards those areas where the positive impact on employment is most significant. In this context, I have no plans to remove this levy in the near future. Neither is it intended to introduce a cut-off point in the way the levy is operated as this would lead to a reduction in the yield from what is an important source of revenue.
