Some UK-based insurance companies are likely to move abroad unless the Government enables them to be more internationally competitive, a survey of senior industry managers by the Association of British Insurers (ABI) has found.

That opinion was shared by 80% of executives. Almost two-thirds of them also say they are tempted to move abroad because of the current UK personal tax system.

The findings come in an ABI paper outlining challenges and opportunities for the UK in the world insurance market.

The association says there is a specific opportunity for the UK to attract a much larger share of the wholesale and reinsurance market. Britain now hosts only 10% of total global reinsurance capital, and has no major reinsurance company based there.

Proposals include reducing corporation tax when fiscal conditions allow. 

The ABI says insurers contributed nearly £10 billion ($18.9 billion) in tax revenues to the UK last year, the third highest corporation tax of any sector.