Rt Hon. Nicky Morgan MP, Chair of the Treasury Committee, has written to Rt Hon. Philip Hammond MP, Chancellor of the Exchequer, about the treatment of cross-border pensions and insurance contracts written prior to Brexit.
Rt Hon. Nicky Morgan MP says:
"The possibility that UK providers may not be legally able to pay out pensions or insurance contracts to citizens in the EU – including UK expats – is a stark example of the consequences of a "cliff edge" Brexit.
The ABI is right to raise this concern with the Treasury Committee and Government.
"Both the UK and the EU have a strong mutual interest in resolving this problem, in line with their shared objective of a smooth and orderly Brexit.
"It is therefore surprising that there have been no position papers from the Commission or the Government proposing how it might be addressed.
I have written to the Chancellor to get further clarity on the Government's thinking.
"The Committee will no doubt want to examine the scale of the problem with the regulators, and may take evidence from the insurance industry."
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