The FSCS has moved to deny 'inaccurate' press reports it plans to cut the compensation cover for investments from the current £50,000.
It says it has no plans to reduce compensation protection for investments as suggested, nor does it have the power to do so.
"The rules that the FSCS applies when assessing clams are made by the FSA. These include rules that set the FSCS compensation limits. The FSCS cannot depart from these rules," the FSCS says in a statement.
The FSCS compensation limit for investment claims is currently £50,000 per person, per authorised firm.
However, it adds the European Commission is considering harmonisation of compensation limits across Europe to €50,000 for investment claims.
This proposal is currently set out in a draft directive which is subject to debate amongst Member States and a final decision has not yet been made by the Commission.
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60+ £300bn ISA savings
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