Personal injury discount rate shift will cut motor premiums, says PWC
The government will move the discount rate applicable to personal injury lump sum compensation payments to 0.5% as of 11 January 2025.
Lord Chancellor Shabana Mahmood MP today confirmed the shift from -0.25% affecting England and Wales after opening a review in July.
Under the law the rate must be reviewed at least every five years.
The rates in Northern Ireland and Scotland were also revised to 0.5% in September.
As for the insurance companies, they had expected a change of this scale and will already be pricing it into their pricing.
The percentage figure is used to help calculate compensation in serious, life-changing personal
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