'Routine' policies hit by trusts crackdown
Controversial trusts move could affect millions of people, it emerges, as ABI arranges crisis meeting
‘Routine’ life insurance policies could be hit by the chancellor’s crackdown
on trusts, it emerged at the weekend.
Many policies are written as trusts, The Sunday Times reported,
meaning millions of people could be caught by the move. The Treasury has
insisted the real figure is a fraction of that, only a small proportion of the
100,000 discretionary trusts it says are in existence.
The Association of British Insurers is to meet government officials this week
to discuss the impact of the crackdown, which has been widely criticised not
least for the lack of consultation on the move.