IFAs take FOS to Court of Appeal over Keydata redress

Laura Miller
clock

Three IFAs are taking their case to the Court of Appeal in a bid to overturn a High Court ruling backing a Financial Ombudsman (FOS) decision that they should pay clients compensation for advice to invest in failed firm Keydata.

Westcott Financial Services, CBHC and DTE Risk and Financial Management have lodged their case with the Court of Appeal after having lost their legal battle against the FOS in December. They were fighting a series of decisions from 2013 in which the Ombudsman found the three firms had given five clients unsuitable advice to invest in Keydata, and had ordered them to pay combined compensation of £362,000. The advisers wanted to delay paying the compensation until the Financial Services Compensation Scheme's (FSCS) legal battle with advisers who sold Keydata investments has been resolve...

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 consults on increased fees amid AI plans

FCA consults on increased fees amid AI plans

Regulator proposes to raise minimum and flat fees by 1%

Sophia Panayi
clock 26 March 2026 • 3 min read
FCA looks to drop annual suitability review requirement for ongoing advice services

FCA looks to drop annual suitability review requirement for ongoing advice services

Regulator pushes for ‘periodic’ assessments instead

Isabel Baxter
clock 25 March 2026 • 2 min read
FCA considers trail commission future as it consults on simplified advice

FCA considers trail commission future as it consults on simplified advice

Follows targeted support work

Jen Frost
clock 25 March 2026 • 2 min read