John Neal, CEO of Lloyd’s, has highlighted the growing necessity for cyclists to consider insurance. This call follows a series of serious incidents that have renewed the debate over the need for mandatory cycling insurance. Neal, an experienced cyclist himself, stressed the importance of safeguarding all road users, describing the idea of insurance for cyclists as not
such a daft idea.
The call for insurance gained traction after a recent case where a drunk cyclist escaped jail despite severely injuring two women, one of whom lost a finger. Neal, sharing his personal experience of being hit by a vehicle while cycling, remarked,
I know what it’s like to be hit by somebody. So I think you could do with a bit of protection as well.
Emphasising the criticality of safety measures, he added,
I can’t comprehend why anybody would not wear a crash hat riding a bike.
Current UK laws do not mandate insurance or registration for cyclists, as these regulations apply only to
mechanically-propelled vehicles. However, the Government is considering stricter laws aimed at cyclists causing deaths or injuries to pedestrians.
These proposals, initially brought forward by the previous government, were delayed before the general election. Proponents argue that mandatory cycling insurance would improve road safety, holding cyclists accountable and deterring reckless behaviour, such as running red lights. Despite the growing support for these measures, Lloyd’s itself does not currently offer cycle insurance.
In addition to advocating for cycling safety, Neal warned against the potential adverse effects of excessive tax hikes and regulatory changes on UK investments. With Chancellor Rachel Reeves expected to announce increased business taxes to address a £22bn deficit in public finances, Neal urged for a balanced approach.
He asserted,
We just want the UK to be sensible, fair and competitive. From a tax point of view, we should pay tax, both individually and corporately. And from a regulatory point of view, it’s important that the markets are looked over, looked after, overseen well and managed. But we need to ensure that we can remain competitive. We’ve got to be an attractive proposition globally for financial services.
Lloyd’s, founded in the 17th century, recently reported a significant increase in pre-tax profits, reaching £4.9bn for the first half of 2024. This marks a 25% rise compared to the same period last year.
As the debate over mandatory cycling insurance intensifies, the insights provided by Neal shed light on the importance of ensuring safety for all road users. The call for balanced regulatory measures and tax policies further emphasises the need for a practical approach to maintaining the UK’s competitiveness in the global financial sector.