LONDON (Reuters) – Britain wants to reform its insurer solvency rules quickly, finance minister Rishi Sunak told insurance executives on Monday at a meeting to help to draw up so-called Solvency II reforms.
“(Sunak) also made clear that also that the aim is to deliver these ambitious reforms at pace, with our consultation closing on Thursday 21st (of) July – but noted that they are complex in nature and the importance of getting these changes right,” a treasury statement said.
Britain inherited Solvency II rules from the European Union, and reforming them is seen by the 2.2 trillion pound ($2.70 trillion) insurance industry and government as important for keeping the country’s financial sector globally competitive.
The public consultation will be followed by more detailed consultation by the Bank of England’s Prudential Regulation Authority later in the year. Legislation is likely to be needed to implement some of the changes.
($1 = 0.8140 pounds)
(Reporting by William James; Editing by Peter Graff and David Goodman)
