HC Deb 01 July 1997 vol 297 c115W
Mr. Fearn

To ask the Chancellor of the Exchequer if he will make a statement on the current rate of tax levied on travel insurance sold by(a) a bank, (b) a newsagent and (c) a travel agent. [4594]

Dawn Primarolo

Under provisions introduced in the last Budget, with effect from 1 April 1997 travel insurance sold by a travel agent is subject to insurance premium tax (IPT) at a rate of 17.5 per cent. Travel insurance sold by a bank or newsagent is normally liable to IPT at a rate of 4 per cent.