The National Campaign Against Insurance Premium Tax (NCAIPT) is lobbying politicians in the run-up to the general election to take a stand against IPT increases.

The pressure group says there has been a “strong groundswell of opinion” among individual politicians, but only the Conservatives have ruled out IPT increases in government.

IPT is levied at 5% in most cases in the UK, which is well below the average rate in the rest of the European Union.

NCAIPT project director Philip Allott said: “In spite of there being no increase in the levy in last month's Budget, I am still concerned that any new Labour administration will use IPT to fund any revenue shortfall which follows the economic ill-wind blowing in from the United States.”