The UK Government has indicated it will move ahead with a crackdown on whiplash fraud, the Association of British Insurers (ABI) says.

The Queen’s Speech, delivered last week to set out the Government’s agenda, says laws will be introduced to modernise the court system and to help reduce motor insurance premiums.

“Millions of motorists will welcome the Government’s commitment to further tackle the compensation culture that is contributing to rising motor insurance premiums,” ABI General Insurance Policy Director James Dalton said.

“We have been pushing for further reforms to ensure proportionate compensation for lower-value whiplash claims, and it will be important to strike the right balance between the interests of claimants and those of premium-paying motorists.”

Mr Dalton says confirmation of tougher regulation of claims management companies is welcome, with disreputable companies fuelling a compensation culture that leads to higher insurance costs.

The ABI says the Government has also affirmed it intends to put the UK “at the forefront” of developing autonomous vehicles.

“The insurance sector supports this wholeheartedly and is helping with the practicalities of getting autonomous vehicles onto our roads,” Mr Dalton said.