FCA U TURN23 May 2021 12:12
While 74,877 of its creditors voted in favour of the scheme last week, compared with just 3,863 against, the proposal was thrown into doubt after the Financial Conduct Authority made a surprise decision to object to the scheme in court. The move spooked investors hoping the scheme would draw a line under expensive mis-selling claims.
It marked a U-turn for the regulator, which in March said that it would not oppose the plan despite concerns over how mis-selling complaints would be assessed by the company and a cap on payouts. However, the FCA presented those concerns during the final court hearing on Wednesday.I think the judge must take into consideration how the FCA backtracked on what they were saying before the final court case.