To ask the Chancellor of the Exchequer, what recent discussions she has had with the Bank of England on the Financial Services Compensation Scheme's compensation limit for (a) consumer and (b) business accounts.
Answered on
19 March 2025
Eligible deposits held by UK banks, building societies and credit unions that are authorised by the Prudential Regulation Authority (PRA) are protected by the Financial Services Compensation Scheme up to £85,000, with joint accounts protected up to £170,000. This limit is set by the PRA and applies to both retail and business accounts.
The PRA is required to independently review the limit every five years and will be publishing a consultation on the outcome of its most recent review shortly. Any changes to the limit must be approved by the Treasury and the Government would carefully consider any changes proposed by the PRA.