Lloyds Banking Group today revealed it had put an additional £1bn aside to cover payment protection insurance (PPI) claims it predicted would come its way over the next few years. Here's how we got to today's announcement:
2005: There had been various murmurs from the media that all was not right in the world of PPI selling for years before the Financial Services Authority (FSA) published a report into the issue, calling on firms to urgently review their practices to make sure they were in line with regulation.
2009: After dolling out a number of fines, the FSA finally bans sales of single-premium PPI, while further rules to clamp down on mis-selling were introduced the following year. The banks, not pleased that the rules could be applied retrospectively, launch legal action.
2011: Court rules in favour of the FSA and the British Bankers' Association (BBA), which was representing the banks, later decides not the appeal the decision.
2015: After several years of fines and redress claims, the FSA's successor, the Financial Conduct Authority (FCA), issues a report, suggesting it will set a deadline for PPI claims of 2018.
2016: FCA sets a June 2019 deadline for PPI claims to be filed, disappointing banks which were no doubt looking forward to the earlier cut off date. To date, the scandal has cost the banking sector around £25bn in redressing customers since January 2011.