To ask the Chancellor of the Exchequer what recent representations he has received on the provisions of the EU Solvency II Directive; what assessment he has made of those provisions; and if he will make a statement. (244309)

The Government have supported the core principles of the Commission's proposal for the Solvency II Directive throughout the negotiations. In particular, capital requirements should be imposed on a consistent basis for all quantifiable risks and diversification effects should be recognised. These principles provide the basis for combining high standards of policyholder protection with value for money for consumers.