Moray SNP News

SOARING CAR INSURANCE COSTS ADDS TO PRESSURE ON MORAY HOUSEHOLD INCOMES

Richard Lochhead MSP has responded to information gathered by the House of Commons Library that found that since January UK car insurance inflation has risen to 43.1% in May 2023. 

In contrast, the inflation rate in May 2023 in neighbouring EU countries like Denmark (6.2%), Germany (2.6%), Sweden (2.5%), The Netherlands (2.4%), France (0.4%) and Spain (0%) have all faired far better – while both Belgium (-0.4%) and Ireland’s (-3.6%) car insurance inflation has actually reduced.
 
The analysis, which provides a comparison over a full two-year period, also revealed that since May 2021, only the UK’s car insurance inflation rate has risen above 5% annually. 

Mr Lochhead has expressed concern that once again the inflation seen in the UK is significantly higher than other European countries and is putting significant pressure on already stretched household incomes.

Commenting, Moray’s SNP MSP said:

“This Conservative Government led by one of the richest men in the country has delivered chronic mismanagement of the UK’s finances and economy leaving Moray households overwhelmed by rising costs from energy to food to car insurance and mortgages.

“The soaring cost of car insurance is hugely concerning and I know many constituents will be worried about the cost of their own payments when the time comes to renew their policy.

“We keep hearing from the Conservatives that inflation is a global problem but time and time again we’re seeing consumers in the UK being hit far harder than our European neighbours. Car insurance inflation is just the latest example, having spiralled out of control to a staggering 43.1%.

“Alongside rising food, fuel, rent and mortgage costs, increasing car insurance only adds further pressure to household budgets that are, in many cases, already stretched to the max.  

“Over a decade of Tory austerity and the disastrous impact of Brexit has exacerbated the cost of living crisis and households are being hammered in every direction.”