The Westminster government has admitted it has “serious concerns” about the cost of car insurance in Northern Ireland.

Transport Minister Mike Penning spoke after MPs used a Westminster debate to highlight the soaring cost of insurance in the province, which is the subject of an investigation by the Office for Fair Trading.

Mr Penning said he would “come down like a ton of bricks” on organisations found to be colluding on the price of premiums.

He was told that insurance premiums were 84% higher in Northern Ireland than in the rest of the UK.

Jim Shannon, DUP MP for Strangford, said: “The same advertisements are shown on TV. Admiral Group advertises on TV, as does Churchill, but underneath, the wee small print says, ‘Not available in Northern Ireland’.

So although Churchill says, ‘Oh, yes’ to every question he is asked, that does not apply to Northern Ireland.”