Banks could be forced to pay £25bn in compensation for payment protection insurance (PPI) mis-selling, almost double the amount they have set aside, according to The Times.
The paper said calculations using the FSA’s monthly PPI payout figures and historic selling data showed the amount banks pay out would dwarf the £13bn previously estimated.
The jump comes after the FSA ordered banks to write to customers sold PPI to invite them to consider claims.
Banks announced big increases to provisions in their third-quarter results last year.
In November, Lloyds Banking Group increased its provision by £1bn to £5.3bn, Barclays set aside a further £700m, and Royal Bank of Scotland hiked its provision by £400m, to £1.7bn. HSBC raised its provision for British ‘customer redress programmes’, mostly owing to PPI selling, by $353 to $2.1bn
Ever stopped to wonder if your insurance policy purchased on-line is “fit-for-purpose”?
Of course the schedule of insurance will include all the usual …
19 Jul 2019
The 2019 Inspiring Herts Business Awards’ “Family Business of the Year Award” was presented by Peter Smits, Managing Director of Ashbourne Insurance …
10 Jul 2019
Business insurance for tradesmen can be a minefield to navigate through, not only is there a need to ensure that you obtain …
7 Jun 2019