Insights
Lloyd’s welcomes removal of Section 899 from One Big Beautiful Bill
Posted 30/06/2025 – Insights
Lloyd’s has welcomed the US Senate’s decision to remove Section 899 – the so-called ‘revenge tax’ – from the One Big Beautiful Bill. Had it remained, this provision would have allowed punitive US taxes on companies from countries the Trump administration viewed as levying “unfair” taxes on American firms.
Sir Charles Roxburgh, Chairman of Lloyd’s, said:
“We are very grateful for the Chancellor’s leadership, working with her G7 finance minister colleagues to secure the announcement from the US Treasury and Congress that Section 899 has been removed from the reconciliation bill. This greatly supports not only Lloyd’s business in the US but all British companies with interests in the US and will enable international investment in the US to serve domestic businesses and communities. Lloyd’s has been providing insurance capacity to support the economy of the US – our largest market – for over a century, and we are pleased to continue to do so.”
Alpha comment
The removal of this tax provision is a positive for Lloyd’s. With approximately 47% of Lloyd’s premium income derived from the US, the introduction of Section 899 would have adversely impacted potential profitability and competitive advantage. Its withdrawal enables Lloyd’s to maintain competitive pricing and expand its presence in the US market. Sir Charles highlighted that this announcement is also very encouraging for all UK firms that operate in the US.
