Banks’ PPI compensation bill smashes through £10bn mark

City A.M. Reporter
COMPENSATION payouts to customers wrongly sold payments protection insurance amount to more than £10bn, City watchdog the Financial Conduct Authority (FCA) revealed yesterday.

And no end is in sight – more than £400m is still being paid out each month by lenders. The scandal has led to a wide range of changes in banks, a number of which have scrapped sales volumes bonuses for front-line staff.

Separately, the FCA said it will levy a hefty fine next month on a firm for poor handling of complaints about insurance it sold to cover the loss or theft of mobile phones.