Banks' PPI climb-down could lower FOS fees

The ombudsman service hit the industry last month with a £25m levy  it said was needed to cover the exceptional cost of dealing with the 5,000 complaints it is receiving about PPI every week. However, the British Bankers' Association (BBA) said yesterday it will not appeal a High Court judgment backing up the ombudsman's and FSA's view PPI had been widely mis-sold. Banks, which were found to be the biggest culprits in the mis-selling scandal, had previously refused to either deal with the complaints internally or pay the cost of those complaints handled by FOS. The climb-down has p...