West Worcestershire MP Harriett Baldwin today expressed her concerns about the delays in negotiations to secure long-term flood insurance cover for homes and businesses. Constituents have been in contact with Harriett fearful that they will be denied home insurance when the Statement of Principles between the insurance companies and the Government comes to an end later this year. Representatives from the insurance industry and Government have been engaged in lengthy negotiations to attempt to find a long-term solution to guarantee cover for flood-affected properties. The MP told the House of Commons that she was concerned that the Association of British Insurers is taking an unreasonable position expecting the taxpayer to act as insurer of last resort for flood risks. Speaking in Parliament, Harriett said: “My constituents in West Worcestershire, which is quite flood prone, are concerned about the length of these negotiations. “I understand the ABI is asking for the tax payer effectively to be the reinsurer of last resort. “How confident is the Minister that we will be able to come up with a private sector-led solution in time for the expiration of the Statement of Principles.” Richard Benyon, Minister for the Natural Environment said: “What we want to be able to give her constituents the assurance of and she has a great many constituents who live in flood risk is that not only there is something that will continue from the end of the Statement of Principles but that it is better because it will not only be available to all properties that are at flood risk but it will have an affordability element to it. “We have in our mind her constituents and many other around the country who live in flood risk but we are also responsible to the taxpayer and we want to make sure that what we are doing is fair to the taxpayer and fair to the person living in flood risk.” FULL TEXT: Harriett Baldwin (West Worcestershire) (Con): My constituents in West Worcestershire, which is quite flood-prone, are concerned about the length of the negotiations. I understand that the Association of British Insurers is asking for the taxpayer, in effect, to be the reinsurer of last resort. How confident is the Minister that we will be able to come up with a private sector-led solution in time for the expiration of the statement of principles? Richard Benyon: My hon. Friend has a great many constituents who live in flood risk, and we want to be able to assure them that there is something that will continue after the end of the statement of principles. As I said to the hon. Member for Nottingham South (Lilian Greenwood), the new system is better because it will not only be available to all properties that are at flood risk but will have an affordability element. We have in mind my hon. Friend’s constituents and many others around the country who live in flood risk, but we are also responsible to the taxpayer. We want to make sure that what we are doing is fair to the taxpayer and fair to the person living in flood risk. | Hansard | Parliament TV