Payment protection insurance complaints escalate by 40 per cent
Thu, 20 Jan 2011
An unexpected surge in the number of payment protection insurance (PPI) complaints has prompted the Financial Ombudsman to forecast a sharp drop in the total number of cases that it expects to solve in 2010-11.

The volume of PPI cases is significantly higher than originally predicted, with 68,000 PPI complaints now forecast for 2010-11, which is well above the 46,000 cases for which it budgeted. As a consequence, the ombudsman expects to resolve a total of 180,000 cases during the current financial year, which is almost 15 per cent down on the 210,000 it originally anticipated.

In a consultation paper detailing its current workload and proposed budget for the next financial year, the ombudsman said the high volume of PPI cases has contributed to a drop in its income (80 per cent of which comes from case fees) because it has resolved fewer disputes as a result.

According to a Financial Ombudsman spokesman, its reserves had been "significantly" reduced after the 40 per cent jump in the number of PPI complaints.
add to favouritesnewsletterlink to this pagesend to friendpost comments

Link to this page

Critical Illness Cover

Critical Illness Cover

Protect your family should you become seriously ill or disabled.

Critical Illness Cover
Family Income Benefit

Family Income Benefit

Protect the family income with a family income benefit quote.

Family Income Benefit