Responding to the news that Lloyds Banking Group has reported a first-half loss after having to set aside an additional £700 million to compensate people who may have been mis-sold payment protection insurance (PPI),
Which? chief executive, Peter Vicary-Smith, said:
“It’s good that Lloyds are setting aside more money for PPI claims – consumers should get back what they are rightly owed without hassle. The results today show that PPI is on course to become the biggest consumer financial scandal of all time, exceeding pensions mis-selling and the endowment mortgage scandal.
“We are pleased to see that Lloyds is looking to implement ring-fencing proposals ahead of the 2019 deadline – consumers need to be protected from the corrosive effects of the investment banking culture sooner rather than later. If one of the biggest banks in the world can do this now the others should follow suit.”