FSCS receives final Icesave payment
15th January 2016
FSCS received from Landsbanki/Icesave final and full dividend payment to FSCS for the costs of the payout of UK Icesave depositors in 2008. This means that the UK has recovered the full amount of £4.5bn that it paid out at that time.
As the largest creditor FSCS has actively pursued this claim, working with HM Treasury, to recover for the taxpayer and the levy payer the amounts paid out from 2008.
FSCS has been a member of the informal creditors committee and party to litigation in Iceland, including to the Supreme Court, as part of this work.
Mark Neale, FSCS’s Chief Executive says, “FSCS is pleased to receive this payment of more than £740m from the Icelandic authorities and has now recovered 100% of its claim against Icesave. FSCS came to the rescue of many thousands of Icesave customers when the bank went bust in 2008. We and the government were there for people with nowhere else to turn.
This payment is good news for UK firms and taxpayers, thanks to our work to pursue recoveries. FSCS has been working hard since 2008 to recover the full amount of the payout. The money will help offset the costs of compensating Icesave customers and our levies on banks, building societies and credit unions. It will also benefit the taxpayer who funded the pay-out alongside FSCS.”