Written questions

Annuities: Financial Services Compensation Scheme

2026-07-12 · Treasury · HL1952 · Official question

Question

To ask His Majesty's Government what risk analysis have they conducted, or asked regulators to conduct, to stress-test the payments currently expected from the Financial Services Compensation Scheme, should one or more underwriter, reinsurer or supplier o

Answer

The Financial Services Compensation Scheme (FSCS) funds its compensation costs through levies on the financial services sector and recoveries against firms that have failed. As FSCS levies industry following payment of compensation or securing continuity ...