Endowment crisis to cost £650m - papers 25 November

THE FSA HAS finally come clean about the cost of the endowments scandal, saying it will cost UK insurance companies £650m to rectify. The Daily Telegraph says the estimate is a blow to insurers already struggling because of fallen stock markets, and notes that the FSA is also saying it is preparing to levy substantial fines on certain companies. FSA chairman Howard Davies is calling the insurers' behaviour a "disgrace", but he himself faces criticism over the FSA's handling of the crisis by the Consumers Association, which is pursuing its own plan to nail the FSA to the wall. ...