France raises 'terror tax' to support victims of attacks

French citizens will contribute an extra £1.60 (US$1.67) on their property insurance policies to help finance a fund for victims of the extremist attacks that have recently hit the country.

The measure comes into force on Sunday and requires policyholders to contribute £5.90 instead of £4.30.

French government officials said in October, when they revealed the scheme, that about 90 million insurance policies are floating the fund, which currently has reserves of £1.45 billion.

More than 200 people have died in France in attacks over the last 20 months. The Bastille Day truck attack in Nice that left 86 dead this summer costed between £300 and £400 million, approximately the same as the November 13 attacks in Paris, which killed 130 people.

- AP