MPs want to create an Arch cru Parliamentary committee to push for higher levels of compensation for investors.
The Financial Mail on Sunday reports that Conservative MPs Guy Opperman and Alun Cairns, Labour MP Tom Greatrex and Jim Shannon, from the Democratic Unionist Party, are calling for a cross-party Arch cru Parliamentary committee to be formed.
This follows last week’s Westminster Hall debate, organised by Greatrex, which saw MPs raise concerns about the £54m compensation package the FSA has agreed with Capita, BNY Mellon and HSBC Bank. The package means that alongside distributions already made and remaining assets, investors should receive around 70 per cent of the value of their funds when the range was suspended in March 2009. Investors wanting to take their complaint against these firms to the Financial Ombudsman Service will have their potential payouts capped at the levels agreed through the package.
Responding to MPs’ concerns last week, Treasury financial secretary Mark Hoban repeated the FSA’s assertion that investors could take action against their IFA to recoup further assets. He also rejected calls for a Government inquiry into the debacle.
Speaking to the Financial Mail, Opperman says: “We need to assist our constituents to get the best outcome. This is an issue that is apolitical and there is a common interest in getting financial justice for Arch Cru investors, many of whom are pensioners and have lost a big slice of their retirement savings. An all-party select committee will assist this process.”