Equitable Life payout to begin in June - Money - News - Moneyfacts


Moneyfacts.co.uk News brings you the latest financial & economic news & reviews of the best products in the UK by our team of money experts.

Equitable Life payout to begin in June

Equitable Life payout to begin in June

Category: Money

Updated: 17/05/2011
First Published: 17/05/2011

This article was correct at the time of publication. It is now over 6 months old so the content may be out of date.

The Government has announced that payouts to Equitable Life policyholders will begin next month.

The statement was made yesterday and matches the Financial Secretary's target to start making payments by the middle of 2011.

Policyholders have been told that they do not have to do anything and will be contacted if they are eligible for a payout, with priority to be given to elderly policyholders and the estates of those who have passed away.

"I am setting out the design of the Equitable Life Payment Scheme for Parliament, policyholders and all other interested parties to see," Mark Hoban, Financial Secretary, said.

"This is a complex issue, but the Scheme has been designed to reflect the principles of fairness, transparency and simplicity.

"When payments start in the middle of this year it will be a huge milestone for the policyholders who have waited so many years for the resolution of this matter."

A total of £1.5 billion has been set aside to payout, with £1 billion ring fenced to be paid out in the next three years.

As had previously been indicated, with-profits policyholders will be paid out in full for any losses they incurred, with payments not affected by tax.

Policyholders that suffered losses of £10 or less have been told they will not be compensated.

Find the best savings rates for you - Compare savings accounts

Disclaimer: Information is correct as of the date of publication (shown at the top of this article). Any products featured may be withdrawn by their provider or changed at any time.

Related Articles

Have your financial habits changed?

2016 was certainly a turbulent year, and it's had a notable impact on household finances. Indeed, research shows that recent events have influenced the way over half of UK respondents manage their finances, with many becoming more cautious.

Kids got £180 in pocket money in 2016

New research has revealed that kids aged 4-14 received an average of £180.44 in pocket money over the last year, which was topped up by an additional £47 on average received in cash over the Christmas period.

How much could it cost to get fit in 2017?

We’re almost a week into 2017, and hopefully, many of those New Year’s Resolutions are still going strong. Figures suggest that the most popular resolution is to achieve a healthier lifestyle, but just how much could that ambition set you back?