The Euro - Sterling Value for Insurance Purposes
FSA/PN/161/2000
18/12/2000
18/12/2000
The sterling value of the euro for insurance supervision purposes for the 12-month period beginning 31 December 2000 will be 58.09 pence. This value should be used for calculations relevant to this period in connection with the application of the insurance companies legislation.
Notes for editors
- Under the provisions of the EC Directives on Insurance the value of the euro is fixed annually for insurance supervision purposes. Insurance companies therefore need to know the sterling value of the euro to be used in these calculations, for example in completing the returns which they are required to deposit under the Insurance Companies Act 1982.
- Section 96A (4) of the Act provides that the rate of conversion of the euro to apply from 31 December each year is to be its value on the latest day of the preceding October for which rates for currencies of EU member states not participating in Economic and Monetary Union were published in the Official Journal of the European Communities. This year, the date in question was 31 October 2000 when the value published was 58.09 pence. It is important to note that this rate applies from 31 December 2000 and not from 1 January 2001 and is therefore the rate to be applied in calculations carried out in respect of the 2000 calendar year end.
- The FSA regulates the financial services industry and has four objectives under the Financial Services and Markets Act 2000: maintaining market confidence; promoting public understanding of the financial system; the protection of consumers; and fighting financial crime.
- The FSA aims to maintain efficient, orderly and clean financial markets and help retail consumers achieve a fair deal.
- Section 96A (4) of the Act provides that the rate of conversion of the euro to apply from 31 December each year is to be its value on the latest day of the preceding October for which rates for currencies of EU member states not participating in Economic and Monetary Union were published in the Official Journal of the European Communities. This year, the date in question was 31 October 2000 when the value published was 58.09 pence. It is important to note that this rate applies from 31 December 2000 and not from 1 January 2001 and is therefore the rate to be applied in calculations carried out in respect of the 2000 calendar year end.