The Financial Services Compensation Scheme could scrap a £1m project begun in 2011 which the scheme hoped would allow it to deliver payments electronically.
Its annual report, published today, explains that in 2011 the FSCS “initiated a project to enlarge its capacity to pay out to depositors in failed banks and building societies in seven days by making payments directly into alternative bank accounts”.
However, it has placed the work on hold due to “challenges in delivery” and will review whether the project should continue.
The report states that the net spend on the project to date has been £1m.
Chief executive Mark Neale received pay of £290,463 for the period. It includes a basic salary of £246,891 and a £43K bonus. The FSCS also contributed £32K to Neale’s pension.
The FSCS declined to comment on the spend, or the status of the review.