The Association of British Insurers has urged the UK Government to negotiate a better Brexit outcome, following a white paper on its future relationship with the European Union.

“Having to comply with financial regulations we have no say over would be the worst possible scenario for our world-leading insurance sector,” Director-General Huw Evans said.

He says the UK insurance industry is too important to be a “rule-taker”.

The Government’s white paper proposes a new economic and regulatory arrangement for financial services, based on the principle of autonomy for each party over decisions regarding access to its market.

It features a framework of treaties to underpin operation of the relationship, ensure transparency and stability, and promote co-operation.