Oral Answers to Questions

Karl Turner Excerpts

Thursday 24th January 2013 Commons Chamber

[Richard Benyon]

I entirely agree with my hon. Friend, and I am coming down to his constituency to hear the concerns of his constituents. I can assure him that we want to achieve something better than the statement of principles, which does not cover all properties and has no element that affects affordability. We recognise that there are real concerns about this, including in my constituency, where insurance premiums are being hiked dramatically. We want to protect those on low incomes who are at flood risk.

[Karl Turner (Kingston upon Hull East) (Lab)]

The statement of principles runs out in June 2013. The Association of British Insurers considers the negotiations with the Government to be at crisis point and estimates that 200,000 people will be without insurance. What do I say to my constituents who are coming to my surgery asking me what they should do about insurance? This is in absolute disarray.

[Richard Benyon]

I entirely reject the idea that our talks with the ABI are at crisis point—nothing could be more different; they are progressing at a very high tempo. We are negotiating with the ABI, with meetings happening on a seemingly daily basis and at the highest level in government. We want to achieve something that is better than the previous Government negotiated with the industry. We are dealing with large international financial institutions. We want to get this right for the taxpayer and those at flood risk, and we are working hard to achieve that.