Lloyd's insurer appoints advisor, according to reports.

Brit Insurance has appointed Ernst & Young to advise it on a possible move out of the UK to a more favourable tax regime, according to reports.

The Financial Times said Brit has asked the accountancy firm to review a number of alternative jurisdictions that could offer a reduced rate of corporation tax.

Earlier this year, the Lloyd's insurer threatened to leave the UK because of frustrations with its business tax regime.

It was believed that Brit could move its headquarters to a country with more favourable taxes, for example Ireland or Switzerland.

Brit chief executive Dane Douetil was reported to have said: “I have worked hard on staying in the UK. Brit is domiciled here. We want to remain, but can stay only if we have greater certainty about our tax position. We are looking closer than ever at other possibilities.”