PPI Complaints in UK Rise by 25-30%
Two largest banks in Great Britain, Barclays and Lloyds Banking Group, recently confirmed that the number of insurance mis-selling complaints rose almost by one third in the first half of 2011.
As such, Barclays reported a 25% increase in complaints about mortgage payment protection insurance. In the first 6 months of 2011, it reached 73,692, up from 59,003 in the second half of 2010.
Lloyds Banking Group, in its turn, reported a 30% rise in such complaints.
UK banks, all in all, have to compensate 6 billion pounds to the customers who were mis-sold PPI. Barclays announced it will pay out about 1 billion pounds, and so will the Royal Bank of Scotland. Lloyds Banking Group made a 3.2 billion provision for compensation.
Financial experts expect the number of payment insurance complaints to increase in the second half of 2011.