4 firms fail - 2 with BSPS links

The Financial Services Compensation Scheme has declared four more firms in default, two with links to the British Steel Pension Scheme (BSPS). The four firms have a collective 267 claims against them. On Friday it listed Sutton Coldfield-based RSS&L, Bromsgrove-based FP Consulting, London-based Optimise Wealth Management and London-based Northern Provident Investments in default. The move opens the door for former clients of the firms to seek compensation. RSS&L (FRN: 774374) lost its FCA authorisation in August 2018 and has two claims for DB pension transfers, of which one is in progress and one upheld, including BSPS claims. FP Consulting (FRN: 195084) was authorised in December 2001 and went into liquidation in June 2020. It traded as The Salmon Partnership, RMS Wealth Management, Honeypot Financial Services and Chilworth Financial Management. It has 40 claims against it, mainly for defined benefit transfers, including BSPS claims. Of the claims, 38 are in progress, one has been upheld and one rejected. Optimise Wealth Management (FRN: 812526) lost its FCA authorisation in August 2022 and has 31 claims mainly for DB pension transfers. Of the claims, 24 are in progress, one has been upheld and six rejected. Northern Provident Investments (FRN: 647948) went into liquidation in August 2021 with Jason Baker and Geoff Rowley of FRP Advisory Trading appointed as joint liquidators. It was authorised by the FCA from July 2015 and operated a debt-based crowdfunding platform where customers could buy illiquid debt securities and shares. It typically acted as an ISA manager for the investments on offer, many of which were high-risk and highly-illiquid mini-bonds. NPI did not hold customers’ investments themselves. Despite the failure of NPI, customers continued to hold their investments, either directly or within an ISA wrapper. However certain investments failed and some customers paid money to NPI to invest on their behalf which was not invested. It has 194 claims relating to various investments, with one upheld. The FSCS said claims will now be worked through by the claims teams and will become upheld or rejected over the next few weeks and months.

4 firms fail - 2 with BSPS links

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