UK Financial Services Compensation Scheme declares 11 firms in default in June

Maria Nikolova

Consumers are set to get back money lost as a result of their dealings with any of the 11 failed firms the FSCS declared in default in June 2019.

More UK consumers are set to get compensation as the Financial Services Compensation Scheme (FSCS) declared 11 firms in default in June 2019.

Alex Kuczynski, Chief Corporate Affairs Officer at FSCS, said: “FSCS steps in to protect consumers around the UK when authorised financial services firms go bust. This vital service, which is free to consumers, protects deposits, insurance, investments, home finance and debt management. We want anyone who believes they may be owed money as a result of their dealings with any of these firms to get in touch as we may be able to help you.”

The list of entities that FSCS declared in default in June 2019 includes:

  • John B Carr Financial Services, 22, The Green, Nettleham, Lincs LN2 2NR.
  • The Carnation Limited, 80 Hinckley Road, Leicester LE3 0RD.
  • Barchester Green Limited, Gladstone House, 77-79 High Street, Twickenham TW20 9HY.
  • Kevin Neal Associates Wealth Management LLP, 34 Clarendon Road, Watford WD17 1JJ.
  • DFD Mortgages Limited, Eversheds House, 70 Great Bridgewater Street, Manchester M1 5ES.
  • The Wealth Partnership Limited, 153 Queen Street, KLM, 1st Floor, Glasgow G1 3BJ.
  • Bradford Peters Financial Services Limited, 1 Oak Court, Betts Way, Crawley RH10 9GG.
  • KWS Wealth Management Limited, 500 Avebury Boulevard, Milton Keynes, Buckinghamshire MK9 2BE.
  • Castle Asset Management, formerly Lighthouse (South West), Sydenham House, High Street, Gillingham, Dorset SP8 4AG.
  • K.G.J. Garages Limited, 63 Gospel Oak Road, Tipton, DY4 0DR.
  • Hayden Williams Independent Financial Services Limited, Room 1, 7 Meadows Bridge, Parc Menter, Cross Hands, Llanelli, Carmarthenshire, Wales SA14 6RA.

A declaration of default means FSCS is satisfied a firm is unable to pay claims for compensation made against it. This paves the way for customers of that firm to make a claim for compensation with FSCS.

Before FSCS can pay compensation, it has to make sure that a firm does not have sufficient assets to meet claims. This is described as the firm being “in default”. FSCS will declare a firm in default if:

  • it has received at least one claim; and
  • it is satisfied that the financial services firm you did business with has failed and is unable to return your money itself (the company is ‘in default’).

According to FSCS’s 2018/19 Annual Report, the Scheme paid a total of £473 million in compensation to 425,760 customers of failed firms during 2018/19. This amount compares with the £405 million FSCS paid in compensation in the previous year.

Read this next

Digital Assets

Silvergate dismisses speculation of trouble, says BlockFi exposure is minimal

Crypto-friendly bank Silvergate Capital claimed on a Tuesday blog post that it had minimal exposure to crypto lender BlockFi, which filed for chapter 11 bankruptcy protection this week.

Retail FX

Fidelity launches crypto trading for retail investors

Fidelity Investments, one of the largest brokerages in the world, has officially rolled out a commission-free crypto trading product for retail investors, starting with zero-fee trading for Bitcoin and Ethereum.

Digital Assets

ECB head calls for tougher crypto regulation after FTX collapse

President of the European Central Bank, Christine Lagarde, has called on lawmakers to start working on fresh crypto regulations to protect the financial system after the collapse of the FTX exchange.

Retail FX

CySEC updates rules for regulated brokers’ cross border activity

As CySEC’s attitude of adopting more stringent licensing guidelines and operating regulations becomes ever clearer, certain aspects of the rules and operations start to come into sharper focus.

Market News

Outlook for Gold: Can the Precious Metal Regain Power?

Gold set an all-time high at $2070 on March 08, 2022, when the price skyrocketed amid investors’ worries about the military conflict in Eastern Europe.

Crypto Insider

2022 Islamic Finance recap: as the space continues to evolve, blockchain stands to play a big part

Despite the global economy being ravaged by turmoil induced by the Covid-19 pandemic over the last couple of years, the Islamic finance industry has emerged relatively unscathed

Crypto Insider

Decentralized Exchanges and Pooled Trading Platform Applications

Decentralized exchanges are one-way blockchain companies take back the power of value creation.

Crypto Insider

How to maximize the safety of your digital tokens?

Digitalization is the future of the investment world. These are the most preferred and growing investments in the world.

Institutional FX, Interviews

FIA EXPO 2022: Interview with Trading Technologies

The derivatives trading industry has gathered in Chicago to attend the FIA EXPO 2022 on 14-15 November. 

<