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Fearful City workers seek income protection post-Brexit vote

Joanna Faith
Written By:
Joanna Faith

Insurance websites have seen a surge in enquiries from City workers and wealthy individuals looking to protect their income in the post-Brexit vote upheaval.

Workers fearful over global banks assessing head office moves and contingency planning for their loss of passporting rights into the EU converted into a 78% spike in income protection enquiries the four weeks after the exit vote on comparison sites GoCompare and Confused.com.

ActiveQuote, a Cardiff-based company that runs the income protection segments of more than a dozen UK comparison sites, confirmed it had seen its biggest ever rise from those earning over £150,000 a year and/or work in finance. Searches for finance workers earning over £75,000 a year also rose by 49%.

Speaking to the FT, Richard Theo, the ActiveQuote managing director and serial entrepreneur, said: “I am positive this is because bankers, who mostly did not expect that Britain would vote to leave Europe, became suddenly very worried about their jobs.”

Theo did caution that with his company handling about 5,000 quotes a month, the spike occurred from a low base.

A survey from GoCompare.com suggests 46% of UK adults expect to be worse off as a result of Brexit, with another 63% anticipating a difficult couple of years financially. Just 18% of people expect their financial situation to improve.

With 40% believing that the UK economy will go into recession as a result of Brexit, Brits are worried for their finances with the increasing cost of living, rising bills and not being able to save for the future topping their list of concerns, said the site.

The poll suggested 74% of young adults are expecting the next two years to be tough with 65% worried they will be worse off as a result of Brexit.