Britain ban ‘costing Quinn €1.5m a day’

EMBATTLED Quinn Insurance is losing up to €1.5 million a day over the ban on writing new business in Britain, workers claim.

Employees said a business plan to resume trading was submitted to Ireland’s Financial Regulator last Thursday but the restriction has not been lifted.

The workers are planning a rally at the regulator’s office in Dublin on Friday, claiming the ban is not sustainable for the company or the country.

“Northern Ireland/UK business represents over 50% of Quinn Insurance’s book and we are losing between €1m and €1.5m per day as a result of not being able to trade in NI/UK,” a statement from the workers said.

“As Quinn Insurance is the only Irish insurer trading in this market, this is lost export business and as such the Irish economy is losing millions in tax revenue.”

The rally coincides with the deadline for tycoon Sean Quinn to finalise his case for fighting administration, a move imposed by regulator Matthew Elderfield amid fears the company cannot cover an influx of claims.

Quinn Insurance’s provisional administrators were last night set to respond to certain queries from the regulator regarding the UK business. But a decision on the future of re-financing plans is not expected until after next Monday’s High Court hearing.

Employees said a business plan was submitted to the regulator by the administrators last Thursday supporting lifting the ban after meetings between politicians, the administrators and the regulator.

They claimed Mr Elderfield promised the issue would be a priority but he has returned to the administrators for clarification.

“As a result of this we the employees feel we have no option but to hold a rally on Friday at noon outside the regulator’s office at the Central Bank in Dublin,” the statement added.

“This is a plea rally on behalf of all employees but in particular the 1,500 employees in all Quinn Insurance offices who are directly impacted by the decision on NI/UK business.”

Experts at London firm Talbot Hughes McKillop (THM) have been asked by Quinn to help restructure the company as the family and group face debts of about €4 billion.

The businessman was granted a week-long reprieve on Monday on attempts to place his flagship insurance company under permanent administration.

Mr Elderfield was given a last-minute “lengthy affidavit” from beleaguered Quinn Insurance just as a courtroom showdown was to about to start.