TFP Schemes - our approach to changes in IPT from 1st June 2017

04/05/2017

News

TFP's approach to the increase in IPT from 1st June 2017 

In the Autumn budget the Chancellor confirmed an increase in the standard rate of IPT from 10% to 12%. This change will be effective from the 1st June 2017.

TFP Schemes Position

We can confirm the following approach during the transitional period will apply to all TFP policies:

New Business And Renewal Transactions

  • Inception / renewal date before 01st June 2017 - 10%
  • Inception / renewal date on or after 01st June 2017 - 12% 

Mid Term Adjustments (MTA's) on policies incepted or renewed before 01st June 2017 

Return Premiums (RP's)

  • Effective date of MTA's before 01st June 2017 - 10%
  • Effective date of MTA's on or after 01st June 2017 10% 

Additional Premiums (AP's)

  • Effective date of MTA's before 01st June 2017- 10%
  • Effective date of MTA's on or after 01st June 2017 - 12%

All policies with an inception/renewal date of 1st June onwards will be subject to the standard IPT rate of 12%.

Please ensure that your clients are aware of these changes. More information can be found on the Gov UK website.

If you have any queries or require any further information, please do not hesitate to contact us.

 

Yours faithfully,

SJM_Signature

Sharon Morse

Fraud and Compliance Manager 

  • 2008 UK Broker Award
  • 2010 British Insurance Awards
  • 2011 UK Broker Award Finalist
  • 2013 UK Broker Award Winner
  • RAC
  • Aviva