The Financial Services Compensation Scheme (FSCS) received 16,490 claims and completed 21,960 in the financial year to 31 March 2008, fewer claims than originally projected.
Mortgage endowment claims continued to be the biggest driver of new claims with 7,410 claims during the year, although, these claims – and pension review claims – both major drivers of the Scheme’s work in recent years, continued on a downward trend. This helped the FSCS end the year under budget by £6 million.
FSCS made over 9,450 payments for insurance claims and completed close to 22,000 other claims, reduced waiting times for consumers and paid more than £82 million in compensation. That brought the total amount of compensation paid by FSCS since it was set up to more than £1.04 billion.
Loretta Minghella, chief executive of FSCS, said: “2007/08 was a year of challenges and achievements for FSCS. Away from the spotlight on the banking sector, we were dealing with a diverse portfolio of compensation claims across the industry. Despite the demands of the turbulent environment, it was a year in which FSCS improved its service to consumers and contained costs for levy payers, reinforcing our commitment to being as efficient and effective as possible.
“We completed some of the most complex and longstanding claims on our books, while also processing new claims within our target times, all well under budget. That is good news for consumers and good news for the industry.”
Filed under: Financial, Regulation | Tagged: Financial Services Compensation Scheme, FSCS
