Is the government trying to wriggle out of Equitable Life compensation
While we reported early in the week about the ongoing situation regarding Equitable Life and the compensation which many customers have been chasing from the government, there are grave doubts emerging about the proposed compensation package. More and more observers are suggesting the government will drag its heels as long as possible and try to eliminate more and more customers from the compensation scheme.
Even though the government has been criticised heavily by a number of judges in the UK and independent investigations, they appear less and less willing to put an end to the situation and replenish the losses of thousands of customers. There is serious concern that the situation will be "kicked into the long grass" which is a political quote suggesting that the government is unwilling to crystallise the compensation package in the short to medium term.
There are a number of delaying tactics available to the UK authorities and while many of these have been used already this is not the end of the Equitable Life story. Quite what former customers of the company can do to speed up the compensation situation remains to be seen but they have a significant battle on their hands even though officially the government has backed down.
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