IPT to rise – again
Irritating Premium Tax (OK, the I is for insurance) has risen sharply in the last few years and in the lovely autumn budget, it's set to rise another 2%. Which makes it exactly double what it was in 2014.
The latest increase only took effect on 1 October and yet here we are, head in hands, again.
Reminder of what IPT is
Every insurance policy has a tax on it. You pay it like you pay VAT on clothes and it goes to the government. IPT is included in the cost of your insurance and currently 10% of the total cost is added.
Phillip Hammond (who's in charge of our money) started to point out that, actually, our IPT is lower than in many European countries but he was drowned out by the booing and jeering.
In 2015, IPT rose 3.5%. In early 2016, 0.5%. And here's another 2%.
How it affects you
The latest change - up to 12% - will mean around £25 extra on the average premium. But people on the younger end of the driver spectrum will pay more, because their insurance bill is more.