Amlin could “leave UK”

Amlin chief executive Charles Phillips has told the Daily Telegraph that any "gold plating" of Solvency II could force the insurer to reconsider its position in the UK.

He said: “Unfortunately the UK has a reputation for gold plating certain stuff relative to what our continental cousins do. My fear is that if that goes too far, it could render operating from the UK less competitive.

“If as a result of operating here we require more capital, or we have to carry significantly greater costs, than that could force a review of where we locate."

Philipps added: “This is all being driven by Europe. The FSA's reputation in Europe has gone downhill and therefore its ability to influence what goes on in Europe has declined."

Philipps said he would hate to relocate Amlin abroad but suggested there was no shortage of potential alternative domiciles. “The options are other insurance centres where they might take a different approach,” he said. “It's a difficult issue because on the one hand, it's beneficial to have a strong regulator, but on the other, you want a regulator that is measured in its approach to how companies conduct themselves.”