View this article online: https://www.insurancejournal.com/news/international/2010/10/26/114335.htm
The newly installed UK government has been announcing cutbacks in all sectors of the economy in order to bring down Britain’s budget deficit. The cuts will effect investment in flood defense spending as well.
Nick Starling, the Association of British Insurers Director of General Insurance and Health, commented: “The Government is right to recognize the importance of continued investment in flood defenses. But we are disappointed that this will not be maintained at current levels, given the scale of the problem and the wider economic benefits provided by flood defenses to our communities and businesses.
“We urgently need a long-term plan to tackle the rising flood risk this country faces over the next 25 years, especially as the Statement of Principles on Flood Insurance comes to an end in 2013.
“In the last spending review, the previous Government committed to £2.15 billion for three years 2008 – 2011. Today, the Government committed £2 billion [$3.17 billion] over four years 2011- 2015”.
Source: Association of British Insurers