GOVERNMENT STALLS ON INSURANCE - COTTER

12.00.00am BST (GMT +0100) Tue 15th Apr 2003

Brian Cotter MP

Brian Cotter MP, the Liberal Democrat Spokesman on Small Business is calling on the Government to clarify its position on the insurance crisis after it failed to confirm yesterday when the Department of Work and Pensions would report back its findings on the insurance issue.

Brian Cotter stated, "The Government appears to have completely missed the seriousness of the whole insurance issue. The Chancellor failed to introduce a rebate on Insurance Premium Tax last week in his budget, which would have eased the financial burden that soaring insurance costs are creating for small business, and now we are being left in the dark about what, if anything, the Government is going to do put an end to the crisis."

"Small businesses and insurers alike are pinning their hopes on this enquiry. The Department of Work and Pensions said that they would report back in the spring, yet so far we have heard nothing. Yesterday, I was told that the Secretary of State would report back 'shortly', which is simply not good enough."

"The Government must act now, before even more small businesses become crippled by the cost of insurance."

"ENDS"

"Notes to Editors"

"• Brian Cotter is responding to a statement made by Patricia Hewitt yesterday during the debate on Budget Resolutions and Economic Situation, HC Debate 14 Apr 2003 : Column 653"

"• The Chancellor announced last November in his Pre-budget report that the Department of Work and Pensions would be carrying out an enquiry into Employers' Liability Insurance.