IPT receipts crossed £2bn in May despite sluggish start to year

Insurance Premium Tax (IPT) receipts totalled £2.12bn in May of this year, according to new figures from HMRC.

The figures – released today (19 June 2026) – revealed that income from the levy has fallen marginally since the same period last year, down by £9m or 0.5%.

The dip follows a larger year-on-year decline seen in the previous month’s posting, with April’s IPT receipts reaching just £499m, down markedly from the £648m seen in 2025.

The results mean that IPT income for the first two months of the financial year stands at 2.62bn, £166m short of the 2025 total at the same point.

IPT levels reached a record high across the 2025/26 financial year, with total income for the Treasury reaching £8.88bn, £157m up on the previous high water mark set the preceding year.

The Treasury has now said it expects to raise £57.8bn in insurance tax between the 2025/26 and 2030/31 financial years, a £500m upwards revision on the figure stated in November 2025’s Autumn Budget.

Measured pace

Cara Spinks, head of life and health at financial services consultancy Broadstone, said: “IPT receipts have begun the new financial year at a slightly more measured pace compared with the very strong levels seen throughout 2025/26.

“Appetite for health insurance remains strong. Both employers and individuals continue to value faster access to healthcare services as pressures across the NHS persist, which is helping to sustain demand and place upward pressure on premiums, evidenced by record employer-funded insured admissions in 2025.

“As IPT receipts continue to trend upwards over the longer term, questions remain over whether the current tax treatment of health insurance is fully in step with the government’s wider objectives.”