Railway engineers are claiming spiralling insurance costs threaten to halt safety work.

The National Campaign for the Abolition of Insurance Premium Tax (NCAIPT) is backing calls for transport secretary Alistair Darling to help the engineers cut their costs. It has been working with MPs, businesses and the insurance industry to scrap the premium tax.

NCAIPT project director Philip Allott said the group was concerned with reports of rocketing costs of professional indemnity insurance for railway workers in the wake of rail accidents.

"Whatever the premium, there is a 5% levy on top to fuel the Treasury's spending plans and it could be that the additional burden is simply a step too far," said Allott.

"The government can offer instant help to those in trouble by calling time on IPT. It would be at least a step in the right direction for those in the railway and other construction industries which seem to be particularly hard hit by insurance costs."

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