FSCS braces for mortgage claims influx as payouts hit £21bn

In its latest annual report, it says 2008/9 was the first time the scheme started paying claims against brokers since mortgage advice and arranging came under regulation in 2004. It says it received 79 claims in the 12 months to 31 March, completing 54 of them. A quarter of decisions resulted in an offer of compensation with an average payout of just under £26,000. "We expect to receive increasing volumes of claims against mortgage brokers in 2009/10," FSCS chief executive Loretta Minghella says, adding the scheme is also expecting an increase in claims relating to payment protection ...