General information guide. Not financial or legal advice. For a free case assessment, use the button below.
Start your free assessment → Download this guide (PDF) ↓The Financial Services Compensation Scheme (FSCS) is the UK's statutory compensation scheme, funded by the financial services industry. It protects consumers when FCA-authorised firms fail and cannot pay claims against them. The FSCS is free to use — you do not need a claims management company to make an FSCS claim, though you may choose to use one.
The FSCS declares a firm "in default" when it has determined the firm is unable to pay claims against it. This declaration is separate from a firm going into administration or liquidation. Once in default, eligible claimants can submit compensation claims directly to the FSCS.
For investment and pension mis-selling claims, the FSCS pays up to £85,000 per firm. This is the limit per failed firm — if you have claims against two separate failed firms, you may claim up to £85,000 from each. Where your loss exceeds £85,000, Route 4 civil litigation may recover the balance uncapped.
The FSCS uses FCA DISP Appendix 4 methodology for DB transfer cases. This calculates: (1) the current cost of reinstating your lost DB pension rights; (2) the current value of your SIPP or pension pot; and (3) the difference is your compensatable loss, subject to the £85,000 cap. For DC cases, the calculation compares your actual pension outcome against a suitable benchmark.
49 named firm pages on our site cover every major failed pension adviser and SIPP operator, including Berkeley Burke, Carey/Options UK, Hartley Pensions, Heritage Pensions, Rowanmoor, Holborn Assets, and many others. See the full firm directory.
No. You can submit an FSCS claim yourself for free at fscs.org.uk. If you use a claims management company, our fees are capped by the FCA under the CMCOB 5.2 sliding scale — see the regulatory information below.
You can complain directly to the firm, refer to the Financial Ombudsman Service or apply to the FSCS — all completely free. If you use the free routes, you keep 100% of any compensation.
| Redress received | Max % | Max fee |
|---|---|---|
| Up to £1,499 | 30% | £420 |
| £1,500–£9,999 | 28% | £2,500 |
| £10,000–£24,999 | 25% | £5,000 |
| £25,000–£49,999 | 20% | £7,500 |
| £50,000 and above | 15% | £10,000 |
Compensation is paid directly to you. We invoice after you receive your compensation. You pay nothing if unsuccessful. Source: FCA PS21/18 (Chapter 2, Table 1) & CMCOB 5.2. Excl. VAT.
Compensation is paid directly to you. We invoice after you receive your compensation. You pay nothing if unsuccessful. Source: FCA PS21/18 (Chapter 2, Table 1) and CMCOB 5.2. Excl. VAT.
Cancel any agreement with us within 14 days of signing, without charge or obligation. No questions asked.
Contact complaints@redressadvisory.com. If unresolved, refer to the Financial Ombudsman Service free of charge within 6 months of our final response.