The Financial Services Compensation Scheme (FSCS) saw the number of claims received increase by 25% last year, as well as a 75% rise in enquiries.
The organisation said it received 39,500 new claims from consumer, largely as a result of high profile failures such as Keydata. In its annual report and accounts for 2010/11, the FSCS said it paid out £535m in compensation for 2010/11, with £214m arising from the Keydata failure. Meanwhile, payment protection insurance (PPI) claims accounted for just over 20% of new claims, with the FSCS saying it expects to receive a continuing high volume of PPI claims in 2011/12. The FSCS also admitted its £4m public awareness campaign had not had the expected impact. "We shall, therefore, b...
To continue reading this article...
Join Professional Adviser for free
- Unlimited access to real-time news, industry insights and market intelligence
- Stay ahead of the curve with spotlights on emerging trends and technologies
- Receive breaking news stories straight to your inbox in the daily newsletters
- Make smart business decisions with the latest developments in regulation, investing retirement and protection
- Members-only access to the editor’s weekly Friday commentary
- Be the first to hear about our events and awards programmes