FSCS sets aside extra millions for Keydata recoveries

clock

The Financial Services Compensation Scheme (FSCS) is proposing to budget more than £7m for expenses related to recoveries in 2013/14, including from advisory businesses who recommended Keydata bonds.

The Financial Services Authority (FSA) consults annually on the FSCS's management expenses levy limit (MELL), which relates to all non-compensation costs the Scheme expects to incur to deliver its functions. For 2013/14, the levy is expected to comprise £7.2m to pursue recoveries including in respect of Keydata. After paying out hundreds of millions in compensation to investors in Keydata, the FSCS is in the process of recovering costs from both the assets of Keydata and the underlying investments, and from advisory firms who were responsible for the sales of the bonds. It is also ...

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

Join

 

Already a Professional Adviser member?

Login

More on Regulation

FCA urged to 'think again' on targeted support annuity rules

FCA urged to 'think again' on targeted support annuity rules

Regulator’s MoneyHelper signpost criticised as a ‘real limit’

Isabel Baxter
clock 03 September 2025 • 2 min read
FCA continues data reporting cuts

FCA continues data reporting cuts

Regulator removes more data returns

Isabel Baxter
clock 28 August 2025 • 1 min read
Regulatory and employment-related changes – what do firms need to prepare for?

Regulatory and employment-related changes – what do firms need to prepare for?

‘Getting these issues right is not just about avoiding regulatory action or tribunal claims’

Sophie White
clock 21 August 2025 • 4 min read