The Financial Services Compensation Scheme (FSCS) will only offer compensation to clients of those companies which are FSA regulated, reports said today.
And that could mean that clients of up to 4,000 non-regulated firms could miss out on compensation if companies go bust.
According to reports, the FSA would give “interim” authorisation for up to a year to those companies that fail to be authorised by the 14 January deadline.
But that would not make customers eligible for compensation under the FSCS scheme if non-regulated companies collapse, reports said today.
