Car Insurance: Young People

Debate between Graham Stringer and Steve Double

Monday 20th March 2017 Westminster Hall

[Steve Double]

My hon. Friend makes a very good point. I am certainly not here to defend every insurance company or the premiums they quote to young people or anyone else. I am sure there is always room to do better and drive down those costs. We could talk about the insurance premium tax, which has perhaps contributed to the cost. Young people are unfairly penalised on that count because of the high premiums. We need to be realistic: this is about insurance companies assessing risk and charging according to that.

To put the matter into perspective, a typical insurance premium for a teenager is £2,000, which comes out at just over £5 a day. I am sure that many Members in the Chamber today have very nice vehicles. Would they give their car to a 17-year-old for 24 hours to drive however they chose in return for £5? I do not think many of us would do that. Although £2,000 is a very large amount of money for someone who is 17 or 18 years old—we acknowledge that—we also understand that for that money they are getting insurance cover not only for the vehicle, but for any third-party damage or injury that they may cause.

[Graham Stringer (Blackley and Broughton) (Lab)]

I am following the logic of the hon. Gentleman’s argument, which is that insurance costs are related not only to the experience of the driver, but to their age. We have been moving the age of responsibility up in lots of areas, such as for buying cigarettes, so would he agree with increasing the age at which someone can get a full licence from 17 to 18?

[Steve Double]

I personally am not of that view. If fact, if we look across the world, other countries allow young people to learn to drive at much younger ages. I certainly would not look to reduce the age. However, I think we need to give our young 17 and 18-year-olds more tuition and better experience, so that they become more capable drivers much quicker. That is where I would focus the attention, rather than increasing the age. If we increase the age, they will still be new drivers at whatever age they begin to drive.

Beer Duty

Debate between Graham Stringer and Steve Double

Tuesday 7th March 2017 Westminster Hall

[Steve Double]

I now understand the point the right hon. Gentleman is making. I would never drink and drive at all. That attitude has become much more the norm in today’s society, where most people consider that drinking anything and driving should be avoided. I am not entirely sure that I agree with his point.

The brewing and pub industry not only employs 900,000 people but attracts many younger people to its workforce—in fact, 46% of those employed in the sector are under 25 years old. That level of employment among the young is a critical factor, especially in rural constituencies such as the one I represent in Cornwall. While many start out in basic roles, they go on to become professionals in the trade or elsewhere—for example, working as chefs, licensees or successful businesspeople in their own right, and employing others.

That said, the news has not always been good in recent times. Some 17,000 pubs have closed in the past three decades, and while the closure trend has slowed markedly of late, many communities will grieve the loss of their local, which all too often is the only pub in the area.

[Graham Stringer (Blackley and Broughton) (Lab)]

Although it is not the only factor, does the hon. Gentleman agree that cuts in beer duty increase investment and employment opportunities, particularly for the young, while increases do the opposite?

[Steve Double]

I wholeheartedly agree. Lower taxes generally encourage investment and growth in a sector, and I will press for that as the debate goes on.