Lloyds bank agrees to stop PPI sales
Lloyds bank has today agreed to withdraw PPI, payment protection insurance, from the list of services provided by the group. Earlier this year we saw the regulators suggesting that the way in which PPI is sold to the general public should change in the future. A cooling off period and a more detailed analysis of the total cost of PPI, together with discussions regarding the fact that many consumers may already be covered, were just two proposals put forward.
The announcement by Lloyds bank, which is likely to be copied by many other institutions in the UK, comes just 24 hours ahead of a Financial Ombudsman Service report. The report is expected to show that nearly 150 people a day have logged complaints about PPI in the three months to the end of June, up from 135 a day last year. A number of financial institutions have been accused of "mis-selling PPI contracts" although these claims have been refuted by the likes of Barclays bank and a number of UK institutions are taking action to prevent the withdrawal of PPI.
It will be interesting to see how the Financial Ombudsman Service report goes down in the city and indeed whether it does officially sound the death knell for PPI.
George Osborne announces partial reduction in planned national insurance rise
George Osborne yesterday grabbed the moral high ground in the battle for the hearts and minds of UK workers with an announcement that the Conservative party would partially reduce the planned national insurance rise announced by the Labour government. George Osborne has guaranteed there will be no national insurance rise for those earning under £35,000 a year in the UK and while this will cost th...Read More
Insurers forced to be clearer over premiums
10/07/2014 Insurance companies will soon be expected to provide clearer information on renewal quotes, as the Financial Conduct Authority (FCA) prepares to draw up new rules for the industry. The new regulations are likely to include measures to force insurance companies to provide extra details when a customer comes to renew their policy. It’s claimed that customers will now have to b...Read More
UK insurer bonus rates slashed
Friends Provident has today announced a 20% reduction in with-profits payments as the insurance sector continues to feel the pain of the economic downturn around the world. While this move is no surprise and reflects the general conditions of the market it could severely handicap many who depend upon their insurance investments for their long-term financial well-being.
As an example...
Lloyds bank in talks to scale back asset protection plan participation
After yesterday's revelation that Lloyds bank failed a Financial Services Authority (FSA) stress-test, regarding its plans to withdraw from the UK government's asset protection scheme, directors have now put forward a scaled-down version of the scheme. It is believed that Lloyds bank directors are currently in talks with the UK Treasury regarding a possible reduction in the company's asset protect...Read More
Equitable Life saga goes on
The Equitable Life nightmare goes on for the UK government with news that the Equitable Members Action Group (EMAG) has obtained permission to take the UK government to court amid demands for significant compensation. The near collapse of Equitable Life saw many policyholders lose a significant chunk of their retirement savings and even though this happened nearly a decade ago the UK government ha...Read More