fscs.org.uk

The Financial Services Compensation Scheme (FSCS) today announces the appointments of Andrew Craddock, Tracey McDermott and Mark Suthern as Non-Executive Directors to its Board. They will take up their roles from 01 August 2026. Together, they bring a broad range of experience across financial services, regulation and governance. Their appointments will further strengthen the FSCS Board.

The Financial Services Compensation Scheme (FSCS) paid over 14,000 individual customers, responded to major firm failures and recovered more than £34m in 2025/26. It also implemented the increased £120,000 deposit protection limit, protecting even more of people’s savings. Today, FSCS publishes its Annual Report and Accounts for 2025/26, covering a year of strong delivery for customers and industry.

The Financial Services Compensation Scheme (FSCS) today publishes its spring Outlook including the latest update on the annual levy for 2026/27. The total levy payable by firms for the 2026/27 financial year is £247m. In 2025/26 we recovered £34m from the estates of failed firms and relevant third parties, with performance in 2025/26 exceeding the annual average for the previous five years. These recoveries help offset the levy paid by financial services firms.

FSCS contributes to financial stability by giving consumers confidence, continuity and compensation when authorised financial services firms fail. This helps strengthen trust in the financial system and supports the conditions for long-term economic growth. As responsible stewards of the levy, we aim to deliver our role with clarity, discipline and efficiency. Our Outlook forecasts are designed to provide transparency to industry and help firms plan.

Scams are becoming increasingly common and more convincing. Understanding how scams work and knowing the warning signs can help you protect your money and personal information. A scam is ways of misleading people into sharing personal information, giving access to their accounts, or sending money to someone pretending to be trustworthy or offering something that isn't real.

New five-year strategy from FSCS sets out priorities for 2026-2031 Strategy will focus on three core priorities: delivering timely, high quality customer outcomes, a strong purpose and performance‑led culture, and value for consumers, industry and the wider financial system.

FSCS announces 2026/27 budget will be in line with inflation FSCS also confirms 2025/26 budget remains unchanged Today, FSCS publishes its Budget Update, outlining management expenses for 2026/27 of £108m. This includes £97m in core costs, a 6% reduction on the previous year, plus an additional £11m to enhance FSCS’s existing revolving credit facility (RCF), enabling greater funding readiness and helping to strengthen confidence in the UK’s financial services industry.

Latest 2025/26 forecast I am pleased to confirm that we remain on track to be within our budget of £103.6m for 2025/26. Our overall costs remain flat, and we’re continually driving efficiencies to deliver value for levy payers, while delivering good outcomes for customers. Our proposed 2026/27 budget Our budget ensures we can effectively discharge our core statutory responsibilities.

FSCS has confirmed that the 13 firms below were declared in default in the last four months – which means they have gone out of business and are unable to meet any claims themselves. Customers who may be owed money by these firms can find out how to make a claim by visiting the FSCS website's Making a claim pages. If a regulated financial firm is no longer trading and cannot pay a customer’s claim, FSCS can step in to pay compensation if certain requirements are met.

The Financial Services Compensation Scheme (FSCS) welcomes today’s announcement by the Prudential Regulation Authority (PRA) confirming that the FSCS deposit protection limit will rise to £120,000 from 1 December 2025. The deposit protection limit was last updated in 2017 to its current limit of £85,000. The announced increase reflects the latest inflation data and gives savers greater certainty that more of their money is protected.