Vol. 481 No. 1
140 Mr. Callely asked the Minister for Finance the number of years the 2 per cent levy has been placed on motor insurance premiums; the reason this levy was placed on premiums; the total fund raised to date from this levy; the purpose of the fund; the likely time schedule for the abolition of the levy; and if he will make a statement on the matter. [15304/97]
A levy of 1 per cent was imposed on certain insurance premiums in 1982. This levy is not confined to motor insurance premiums. It is imposed on almost all non-life insurance premiums, the exceptions being reinsurance, voluntary health insurance, marine, aviation and transit insurance and export credit insurance. The levy was introduced to broaden the stamp duty base, thereby raising additional revenue.
It is not possible to state what the annual or total yield from motor insurance premiums has been because the insurance companies, when paying the levy, do not distinguish between the different categories of insurance to which the levy applies. However, the total yield from the non-life insurance levy since 1982 is as follows:
|
Year |
Yield |
|
£m |
|
|
1982 |
0.82 |
|
1983 |
8.60 |
|
1984 |
14.82 |
|
1985 |
17.12 |
|
1986 |
15.20 |
|
1987 |
24.30 |
|
1988 |
29.70 |
|
1989 |
38.70 |
|
1990 |
35.30 |
|
1991 |
27.80 |
|
1992 |
28.60 |
|
1993 |
19.01 |
|
1994 |
25.30 |
|
1995 |
29.30 |
|
1996 |
28.40 |
