Will N&P's Keydata payout set a precedent?

Laura Miller
clock

Norwich & Peterborough (N&P) building society has set aside a massive £57m to cover the cost of compensating customers its IFAs invested in failed investment firm Keydata.

N&P’s capitulation, welcomed by investors in Keydata-backer Lifemark after a year of denials of wrong-doing, will put pressure on other firms to fall on their swords. AWD Chase de Vere, Positive Solutions and Sesame all have significant client exposure to Lifemark, I understand. But all advisers need to consider the implications of this under-the-table deal. Frustrated investors everywhere will now expect an N&P-style payout – where even customers who haven’t complained will get their money back. They will look to the FSA and the FSCS to agree elsewhere the same calculation of payments i...

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 Your profession

Andrew Goodwin: It's time for advisers to think differently about innovation

Andrew Goodwin: It's time for advisers to think differently about innovation

'Ours is still a profession that rightly places enormous emphasis on the human touch, relationships and trust'

Andrew Goodwin
clock 04 July 2025 • 4 min read
Altus' Holford urges advisers to reframe concept of advice gap

Altus' Holford urges advisers to reframe concept of advice gap

Traditional models of value, service and delivery are being challenged

Sahar Nazir
clock 04 July 2025 • 2 min read
PA Asks: Do you keep in touch with clients when on holiday?

PA Asks: Do you keep in touch with clients when on holiday?

Plus, targeted support worries and BDMs

Professional Adviser
clock 04 July 2025 • 1 min read