Default declarations pave the way for consumers to claim compensation from FSCS

Consumers in the borough may be entitled to compensation if they have lost money as a result of their dealings with the failed financial firm that the Financial Services Compensation Scheme (FSCS) has declared in default.

FSCS is the UK’s statutory compensation scheme for customers of regulated financial services firms. FSCS does not charge individual consumers for using its service. A declaration of default means FSCS is satisfied the firm is unable to pay claims for compensation made against it.

Mark Oakes, Head of Communications for FSCS says, “FSCS covers a wide range of financial services in the UK. We’re there for consumers when firms go bust. We have already started paying compensation in respect of the firm. However, we are encouraging anyone who has not been contacted by us and believes they may be owed money as a result of their dealings with the firm to get in touch with FSCS.”

Since 2001 FSCS has helped more than 4.5m people, paying out more than £26bn in compensation. 

FSCS was set up by Government in 2001 and is funded by the financial services industry. The scheme protects insurance, investments, deposits and mortgage advice and arranging. See our compensation limits page for more details.

The FSCS Initial Contact Team can be contacted on 0800 678 1100 or 020 7741 4100 or by email at enquiries@fscs.org.uk. Further information about the scheme is available on its website at www.fscs.org.uk