London Capital & Finance Plc bondholder compensation

Early day motion 1544, tabled 24 February 2021 by Neale Hanvey (Scottish National Party). Signed by 28 members.

That this House recognises the significant losses of the 11,625 London Capital & Finance Plc (LC&F) bondholders who invested about £237 million and may only get 20 per cent of their investment back following the scheme’s failure; notes that the Financial Services Compensation Scheme has paid £56.3 million in compensation to 2,878 LC&F bondholders to date; welcomes the publication of the independent investigation report by Dame Elizabeth Gloster in December 2020; notes that the report was strongly critical of the Financial Conduct Authority’s approach, contending that the regulator had failed to fulfil its statutory objectives; further notes that the FCA and the Government have accepted all 13 recommendations from the report; welcomes the announcement from the Government that it will establish its own compensation scheme for LC&F bondholders; and urges the Government to set out the terms of the scheme at the earliest opportunity.

Signatures by party: Scottish National Party 11, Labour 5, Conservative 3, Plaid Cymru 3, DUP 2, Liberal Democrat 2, Independent 1, Labour/Co-operative 1.