The Financial Services Compensation Scheme’s (FSCS) annual report and accounts for 2009/10 has revealed that more than £204m has been paid out in compensation to over 21,000 claimants.
Two thirds of the compensation paid during the year was for payment protection insurance (PPI) and investment claims. The FSCS said PPI claims have increased significantly during the year rising to more than 2,400, and that it expected the number of claims in this area to continue to grow in 2010/11.
Mark Neale, FSCS chief executive, said: “The FSCS achieved a huge amount in 2009/10. We completed a large number of claims, resolved outstanding issues from the banking failures, and made significant investment in response to the demands for faster payout and our increased responsibilities.
“The annual report and accounts 2009/10 gives a detailed insight into the challenges the scheme faced as well as its achievements during 2009/10. The report demonstrates the vital service the FSCS provides to consumers and the benefits that it brings to the industry in delivering consumer protection and promoting consumer confidence.”