A top-level summit on general insurance in the UK will be held on 7 November, Chancellor Alistair Darling announced in this week’s Pre-Budget Report and Comprehensive Spending Review.

It is the first time the government has named a date for the summit, when the work of Lord Levene and the London Insurance Market Review Group, on modern-isation of the wholesale insurance market, will be revealed.

The Chancellor also confirmed that corporation tax will be cut by 2p in the pound to 28% by next year, and that the Environment Agency will receive an extra £800m for flood defences

by 2010 as expected.

The ABI was scathing in its criticism.

Director general Stephen Haddrill said: “It does not begin to address the major issues, including drainage, which were highlighted this summer.”