The CBI is calling for Chancellor Gordon Brown to tackle escalating business insurance costs in the April budget.

In its submission for the budget, the CBI said: "There are two areas, pension funding and business insurancem where the need for policy action is so urgent that it should be taken in the coming months.

The CBI called for the Treasury to reduce insurance premium tax. It said that this could be financed by the windfall from higher than expected IPT raised over the past year.

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