1 Horse Guards Road,
Information Rights Unit
London.
SW1A 2HQ
Tel: 020 7270 4558
Fax: 020 7451 4861
Russell Waterman
[email address]
www.hm-treasury.gov.uk
By email:
[FOI #10999 email]
Our refs:
IRU/9/383
Email/18972/2009
8th May 2009
Dear Mr. Waterman,
FREEDOM OF INFORMATION ACT REQUEST:
FINANCIAL SERVICES COMPENSATION SCHEME
Thank you for your enquiry dated 26th April 2009 asking for information under the
Freedom of Information (FoI) Act 2000, which we received on 27th April 2009.
You asked that:
… As the FSCS (the Financial Services Compensation Scheme) is a limited
company, is the minimum compensation of £50k they promise to consumer
investors if their bank goes bankrupt backed by yourselves or any other
government agency? If it is, can you please tell me the act, statute or precedent
of law where this is confirmed? …
In answer to your question, the Financial Services Compensation Scheme (FSCS)
pays compensation in accordance with the scheme rules, which are made by the
Financial Services Authority (FSA) under powers in the Financial Services and
Markets Act 2000 (FSMA). The rules are to be found in the Compensation
Sourcebook section of the FSA Handbook, which is available on their website
(www.fsa.gov.uk).
http://fsahandbook.info/FSA/html/handbook/COMP
You may find the FSCS website (www.fscs.org.uk) of interest, where you will find
further information and guidance on the scheme.
The Government has made clear that it stands behind the FSCS and has taken steps
to ensure that it has access to immediate liquidity through borrowing from the public
sector. FSMA includes provision (section 223B - inserted by section 173 of the
Banking Act 2009) to allow for this to happen in the most efficient manner using
borrowing from the National Loans Fund.
All Acts of Parliament after 1997, including those cited above, are available online at
the UK Statute Law Database website.
http://www.statutelaw.gov.uk/
I bring to your attention that FSA and parliamentary documents are parliamentary
copyright and a legal statement regarding their copyright is attached.
I hope this answers your question fully but if you have any queries about this letter,
please contact us at the email account given in the header to this letter. It would help
us, if you could remember to quote the IRU reference number (also in the header) in
any future communications.
Yours sincerely,
Information Rights Unit
On behalf of HM Treasury
Parliamentary Copyright.
Parliamentary copyright is defined at Section 165 of the Copyright, Designs and Patents Act 1988 as covering works
made by or under the direction or control of the House of Commons or the House of Lords. The rights in
Parliamentary copyright are exercised by the Speaker of the House of Commons (for Commons material) and by the
Clerk of the Parliaments (for Lords material). However, the administration of Parliamentary copyright material is
undertaken by the Office of Public Sector Information under the terms of an agreement with Parliament. Day-to-day
administration of Parliamentary copyright is dealt with by the Information Policy Division of the Office of Public Sector
Information. http://www.opsi.gov.uk/advice/parliamentary-copyright/index.htm
Your right to complain under the Freedom of Information Act 2000
If you are not happy with this reply, you may request a review by writing to HM Treasury, Information Rights Unit,
2/S2, 1 Horse Guards Road, London SW1A 2HQ. Email foi.responses@hm -treasury.gov.uk.
Any review request must be made within 2 months of the date of this letter.
It would assist our review if you set out which aspects of the reply concern you and why you are dissatisfied.
If you are not content with the outcome of your complaint, you may apply directly to the Information Commissioner for
a decision. Generally, the ICO cannot make a decision unless you have exhausted the complaints procedure
provided by the Treasury. The Information Commissioner can be contacted at: The Information Commissioner’s
Office, Wycliffe House, Water Lane, Wilmslow, Cheshire SK9 5AF.
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