Bradford and Bingley is setting aside 89.4m against compensation claims for mortgage misselling, which is more than double the 38m it put aside in 2005/06.The total amount of compensation paid out by the industry for missold endowment mortgages has rocketed to 2.3bn. The figure, from FSA research covering 90 per cent of the market, has doubled in 18 months although previous research covered only 70 per cent of the market. B&B’s compensation figure in its interim results have overshadowed its 9 per cent rise in underlying first-half profits to 164.2m, which is described by chief executive Steven Crawshaw as its best set of results since flotation five years ago. The firm, which stopped selling endowment policies in 2004, is hoping this will be its final provision. Spokeswoman Mandy Pursey says B&B is in a different position to many other providers because it has been unable to impose a time bar on complaints as it has historically given advice on products from a range of providers. She says “We believe this is a prudent amount to set aside to cover all future claims. This reflects what is going on across the market. It is possibly to do with time-barring and the publicity over no win, no fee claim companies.”
Tory Shadow Financial Secretary to the Treasury Mark Hoban says the Government will interfere in pensions and “salami-slice” away A-Day reforms. Hoban says in other areas, such as the taxation of small companies, the Government has introduced significant tax concessions, only to remove them piece by piece. Following Treasury Econ-omic Secretary Ed Balls’ recent statement […]
Veteran fund manager Nils Taube is retiring after 60 years in the industry. Taube is at Taube Hodson Stonex Partners where he runs retail funds for GAM and St James’s Place, including 588m Greater European Progressive fund which he launched in 1969 and still runs for SJP.
Paternoster, the closed life fund consolidator run by Mark Wood, has signed a letter of intent for Jardine Lloyd Thompson Benefit Solutions to act as its service partner for the long-term administration of pension policies and actuarial pricing support.
The Bank of England’s Monetary Policy Committee today voted to raise the base rate by 0.25 percentage points to 4.75 per cent.This is the first change since August 2005 when the rate came down from 4.75 per cent to 4.5 per cent. The BoE says: Against the background of firm growth, limited spare capacity, rapid […]
The Artemis UK Smaller Companies Fund has delivered good returns through the bull market. But its cautious style is better suited to the trickier times which could be coming, says manager Mark Niznik.
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Trade bodies tend to live in a cloistered environment while advisers keep the industry on its toes