Tracking the growing PPI problem every step of the way
How the problem unfolded
FSA agrees to carry out a review of the FSCS levy.
FSA raises the minimum fee for insurance brokers from £450 to £1,000.
FSCS increases the levy on insurance intermediaries’ budget from £8.5m to £61.4m in its 2010/11 budget.
FSA bills are sent out to brokers itemising a massive leap in FSCS levies, sparking widespread outrage in the sector.
15 July 2010
Insurance Times launches its Fair Fees campaign. insurancetimes.co.uk/backfairfees
Fair Fees - the past year
FSA announces delay to the FSCS review and unveils proposed new fee for client money handling.
FSCS launches a £4m publicity campaign encouraging members of the public to complain if they have been mis-sold financial services products.
2 February 2011
FSCS announces an increase in the FSCS levy from £61m to £95m.
1 March 2011
House of Commons all-party parliamentary group on insurance and financial services launches an inquiry into the future of the FSCS.
2 March 2011
PPI provider Welcome Financial Services goes into administration – the biggest single new hit on the SBO2 sub-class in the current year.
5 April 2011
MP Alan Meale puts down an early-day motion in the House of Commons calling on the government to accelerate FSCS review.
6 April 2011
FSCS announces final budget for 2010/11, scaling back insurance broker levy rise from £95m to £63m.
British Bankers Association abandons its judicial review of the FSA’s PPI claims handling, triggering mass payouts by high-street banks.
25 May 2011
PPI provider Wilmslow Financial Services becomes latest mortgage broker to go bust.
13 June 2011
Biba presents a 7,000-signature petition to the House of Commons calling for FSCS review to be speeded up.
1 July 2011
FSCS annual report shows a more than threefold increase in the number of insurance claims received over the past year.