At least 20,000 jobs have been created to deal with claims over mis-sold payment protection insurance (PPI), employment group Manpower has said.
These were jobs created by big banks, it said, and did not take into account those created by companies that act as middlemen for claimants.
The finding came in its quarterly look at the UK's employment situation.
Overall, it said the UK's employment situation was the best since the recession began.
Manpower, which surveyed more than 2,000 firms, said more employers were planning to increase their recruitment in the second quarter of this year.
The finding echoes official data, which shows record numbers are in work.
For more on this story, visit the BBC News website.
Banks Unsure over PPI Claim Deadline
Late last week we learned that the major British High Street banks were meeting to further discuss imposing a deadline for consumers across the UK to claim compensation for PPI that was mis-sold to them by their banks and others.
Sky News reported that
"Britain's banks will on (last) Thursday hold crunch talks about a campaign to secure a deadline aimed at bringing the curtain down on one of the industry's worst ever mis-selling scandals.
I understand that executives from the major high street lenders have scheduled talks for Thursday about whether to press ahead with a "time-barring exercise" that would bring an eventual end to millions of compensation claims for mis-selling payment protection insurance (PPI) policies.
The discussions, which are being co-ordinated by the British Bankers' Association - the industry lobbying group - will be held against a backdrop of opposition from leading consumer affairs groups.
Sky News revealed last month that a number of the big banks had serious misgivings about the initiative, which would involve a huge advertising campaign to raise awareness of PPI mis-selling being launched sometime next year. A deadline for claims several months later would be designed to provide certainty about the final bill for the banking industry, which has reached more than £15bn and is set to rise further.
Key to the decision about whether to press ahead with the campaign will be the stance of Lloyds Banking Group, which had by far the biggest share of PPI policy sales, and which has so far set aside £6.7bn for compensation claims.
Industry sources said that Lloyds executives were sceptical about the merits of the initiative unless it had the backing of consumer groups. HSBC's support is also said to be wavering, although Barclays is understood to be enthusiastic about the idea."
For more on this story visit the Sky News website.
Sky News reported that
"Britain's banks will on (last) Thursday hold crunch talks about a campaign to secure a deadline aimed at bringing the curtain down on one of the industry's worst ever mis-selling scandals.
I understand that executives from the major high street lenders have scheduled talks for Thursday about whether to press ahead with a "time-barring exercise" that would bring an eventual end to millions of compensation claims for mis-selling payment protection insurance (PPI) policies.
The discussions, which are being co-ordinated by the British Bankers' Association - the industry lobbying group - will be held against a backdrop of opposition from leading consumer affairs groups.
Sky News revealed last month that a number of the big banks had serious misgivings about the initiative, which would involve a huge advertising campaign to raise awareness of PPI mis-selling being launched sometime next year. A deadline for claims several months later would be designed to provide certainty about the final bill for the banking industry, which has reached more than £15bn and is set to rise further.
Key to the decision about whether to press ahead with the campaign will be the stance of Lloyds Banking Group, which had by far the biggest share of PPI policy sales, and which has so far set aside £6.7bn for compensation claims.
Industry sources said that Lloyds executives were sceptical about the merits of the initiative unless it had the backing of consumer groups. HSBC's support is also said to be wavering, although Barclays is understood to be enthusiastic about the idea."
For more on this story visit the Sky News website.
PPI Upset Persists as FOS Complaints Reach Record Levels
The Financial Ombudsman Service (FOS) has described a rise in complaints relating to Payment Protection Insurance (PPI) as ‘unprecedented’. But what do the latest figures from the FOS tell us about the PPI scandal?
This week the FOS revealed that PPI complaints have now reached record levels, as 211,885 new complaints were recorded by the independent body during the second half of 2012, an increase of 147% in comparison to the first half of the year. During the same period, between 1st July 2012 and 31st December 2012, the FOS dealt with an average of 2,000 complaints on a daily basis.
While the latest statistics may seem to suggest that many more customers are actively seeking redress from their lender, there is also the concern that banks are failing to resolve customer complaints in the first stages of a claim, resulting in an excessive number of complaints being referred to the FOS.
For Lloyds Banking Group, more than 40,000 PPI complaints to the FOS were logged against them during the second half of 2012. Black Horse, part of the same group saw 97% of complaints against them upheld by the FOS in favour of the customer. And they are not alone; other major banks within the group including Bank of Scotland and Lloyds TSB saw similar results as the FOS upheld more than 80% of complaints against them in favour of the customer.
While the FOS is appointed to resolve complaints which have failed to be settled by a creditor, it is important that the banks make every effort to resolve their claims to their best ability, before they are referred to the FOS. The FOS is under building pressure to deal with the mounting number of PPI complaints left unresolved by UK banks, and this year announced the recruitment of 1,000 additional employees to cope with demand.
Aside from the implications of unresolved complaints on the FOS, many customers who are owed compensation by their lender are being forced to endure a drawn-out and frustrating claims process as banks appear to reject claims unnecessarily, to be successively overturned by the FOS. A claim which is referred to the FOS can take between 3 and 12 months to be settled, in some cases longer, resulting in a prolonged claims process for the customer and needless costs for the banks.
As a Claims Management Company specialising in claiming back mis-sold PPI on behalf of customers we hope that the figures released by the FOS will encourage banks to improve the claims process and enable customers to reclaim what is rightfully theirs with ease and efficiency.
This week the FOS revealed that PPI complaints have now reached record levels, as 211,885 new complaints were recorded by the independent body during the second half of 2012, an increase of 147% in comparison to the first half of the year. During the same period, between 1st July 2012 and 31st December 2012, the FOS dealt with an average of 2,000 complaints on a daily basis.
While the latest statistics may seem to suggest that many more customers are actively seeking redress from their lender, there is also the concern that banks are failing to resolve customer complaints in the first stages of a claim, resulting in an excessive number of complaints being referred to the FOS.
For Lloyds Banking Group, more than 40,000 PPI complaints to the FOS were logged against them during the second half of 2012. Black Horse, part of the same group saw 97% of complaints against them upheld by the FOS in favour of the customer. And they are not alone; other major banks within the group including Bank of Scotland and Lloyds TSB saw similar results as the FOS upheld more than 80% of complaints against them in favour of the customer.
While the FOS is appointed to resolve complaints which have failed to be settled by a creditor, it is important that the banks make every effort to resolve their claims to their best ability, before they are referred to the FOS. The FOS is under building pressure to deal with the mounting number of PPI complaints left unresolved by UK banks, and this year announced the recruitment of 1,000 additional employees to cope with demand.
Aside from the implications of unresolved complaints on the FOS, many customers who are owed compensation by their lender are being forced to endure a drawn-out and frustrating claims process as banks appear to reject claims unnecessarily, to be successively overturned by the FOS. A claim which is referred to the FOS can take between 3 and 12 months to be settled, in some cases longer, resulting in a prolonged claims process for the customer and needless costs for the banks.
As a Claims Management Company specialising in claiming back mis-sold PPI on behalf of customers we hope that the figures released by the FOS will encourage banks to improve the claims process and enable customers to reclaim what is rightfully theirs with ease and efficiency.
PPI complaints still at record levels
The financial ombudsman service is taking on 2,000 new cases a day following payment protection insurance (PPI) complaints, with numbers rising at "unprecedented" rates.
The service received 211,885 new PPI complaints in the second half of 2012.
These made up nearly three-quarters of the 283,251 new complaints sent to the ombudsman during the six months.
The service rules on cases that remain unresolved between a customer and a financial institution.
Payment protection insurance was designed to cover loan repayments for policyholders who became ill, had an accident or lost their job. Yet it was miss-sold on a massive scale to customers who did not want or need it.
Now, they are each receiving an average of nearly £3,000 in compensation, if their claim is successful. Refunding these customers has cost the UK banks a collective total of more than £15bn, following the latest provisions by the major banks.
Some claims are disputed by the banks and these often end up with the ombudsman.
Lloyds TSB Bank had the highest number of PPI cases referred to the ombudsman of any institution during the second half of the year, but the ombudsman found in the customers' favour in 86% of the cases against the bank.
This was a higher level than all of the other major UK banks.
For more on this story visit the BBC News website.
The service received 211,885 new PPI complaints in the second half of 2012.
These made up nearly three-quarters of the 283,251 new complaints sent to the ombudsman during the six months.
The service rules on cases that remain unresolved between a customer and a financial institution.
Payment protection insurance was designed to cover loan repayments for policyholders who became ill, had an accident or lost their job. Yet it was miss-sold on a massive scale to customers who did not want or need it.
Now, they are each receiving an average of nearly £3,000 in compensation, if their claim is successful. Refunding these customers has cost the UK banks a collective total of more than £15bn, following the latest provisions by the major banks.
Some claims are disputed by the banks and these often end up with the ombudsman.
Lloyds TSB Bank had the highest number of PPI cases referred to the ombudsman of any institution during the second half of the year, but the ombudsman found in the customers' favour in 86% of the cases against the bank.
This was a higher level than all of the other major UK banks.
For more on this story visit the BBC News website.
HSBC Sets Aside a Further £1.5bn for PPI
HSBC has reported a £13.7bn pre-tax profit for 2012 as the bank was hit by further misselling provisions of £1.5bn and its £1.2bn fine from US regulators last year.
The bank saw profits fall 5.5 per cent last year, down from £14.4bn in 2011.
The bank has set aside an extra £1.5bn in 2012 to cover compensation payments for the misselling of financial products, including £1.1bn to cover costs related to the misselling of payment protection insurance and £397m to cover costs relating to the misselling of interest-rate swaps. In total, HSBC has set aside £1.6bn to settle PPI-related claims.
HSBC also had to pay a £1.2bn fine from US regulators last year to settle a money-laundering inquiry.
For more on this story visit Money Marketing.
The bank saw profits fall 5.5 per cent last year, down from £14.4bn in 2011.
The bank has set aside an extra £1.5bn in 2012 to cover compensation payments for the misselling of financial products, including £1.1bn to cover costs related to the misselling of payment protection insurance and £397m to cover costs relating to the misselling of interest-rate swaps. In total, HSBC has set aside £1.6bn to settle PPI-related claims.
HSBC also had to pay a £1.2bn fine from US regulators last year to settle a money-laundering inquiry.
For more on this story visit Money Marketing.
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