UK FSCS declares 10 firms in default in April and May 2021
More UK consumers are in line for compensation, as the Financial Services Compensation Scheme (FSCS) today announced the latest default declarations. The body declared 10 firms in default in April and May 2021.
People who have dealt with any of these 10 firms, and believe they are owed money as a result, can now make a claim to FSCS.
This vital service, which is free to consumers, protects money held in bank, building society and credit union accounts. It also protects pensions, insurance, investments, mortgage advice and arranging, and debt management.
Declarations by FSCS from 1 April to 31 May 2021 (10 firms):
- The Heath Consulting Company Ltd, formerly C. E. Heath Financial Services Ltd (FRN 114688), 175-177 Kings Road, Reading, Berkshire RG1 4EY
- E*Trade Securities Ltd, formerly E*Trade Institutional Securities Ltd, formerly Carswell-T.I.R. Ltd (FRN 140818), Atria One, 144 Morrison Street, Edinburgh, Midlothian EH3 8EX
- Wrightway Financial Consultants Ltd (FRN 208752), 4 Mount Ephraim Road, Tunbridge Wells, Kent TN1 1EE
- Knight Wealth Management Services Ltd (FRN 466629), 39 Gravelly Hill North, Erdington, Birmingham, West Midlands B23 6BT
- Highpoint Trustees Ltd (FRN 485414), 5-6 Priory Court, Tuscam Way, Camberley, Surrey GU15 3YX
- Triton Insurance Brokers Ltd (FRN 487601), 346 Seawall Lane, North Cotes, Grimsby, North-East Lincolnshire DN36 5XE
- IFA Home Counties Ltd (FRN 488819), Rosemont, 14 St. Leonards Road, Nazeing, Waltham Abbey, Essex EN9 2HJ
- Sovereign Wealth Advisory Ltd (FRN 603333), 32 De Montfort Street, Leicester, Leicestershire LE1 7GD
- Medden Financial Services LLP (FRN 473375), 5 Mercia Business Village, Torwood Close, Coventry, West Midlands CV4 8HX
- Campbell, T/A (Trading As) The Newton-Barr Partnership (FRN 145385), 43 Charlotte Square, Edinburgh, Midlothian EH2 4HQ
Let’s recall that, FSCS declared declared 14 firms in default in the first two months of 2021. The body declared 11 firms in default in March 2021.
Before FSCS can pay compensation, it must be satisfied that an authorised financial services firm is not in a financial position to meet claims against it (e.g. if the firm has failed and entered an insolvency process such as administration or liquidation). FSCS describes this as being ‘in default’. The Scheme will declare a firm in default if:
- it has received at least one claim; and
- it is satisfied that the firm is unable to return money to eligible customers itself.
The Scheme is required to do this before it can pay compensation to eligible customers.