The deadline for UK consumers to submit complaints about payment protection insurance (PPI) is just hours away – but a sizeable industry that has emerged to handle PPI claims may still drag the issue beyond the cut-off.
The Financial Conduct Authority has been persistent in reminding consumers that the August 29 (today) deadline is their last opportunity to submit complaints. “This is the final chance for consumers to think about whether they had PPI and submit a complaint directly to any providers right away,” said Emma Stranack, PPI deadline campaign lead at the FCA.
However, several claims firms have told Reuters that they will continue to pursue PPI payouts through the courts – which is unsurprising given that 10 of the largest claims firms have collected £1.1 billion in revenues over the claims period, according to Companies House documents.
What’s more, think tank New City Agenda estimated last week that “banks have only made contact or received complaints from around half of the consumers they sold PPI to since 2000,” meaning billions of pounds remain unclaimed
“People may have thought the deadline would be the end of it, but it may not go away,” Ian Bond, a director at law firm Talbots Law, told Reuters.
Banks such as Lloyds, HSBC and the UK arm of Spanish bank Santander have already set aside an extra £1.1 billion collectively in half-year results, according to Reuters, with other banks likely to make further provisions only when the full bill is known.