FSCS and small self-administered schemes

During the 2008 financial crisis, five financial institutions collapsed, which affected more than four million retail bank accounts in the UK. Bradford & Bingley failed on 27 September 2008. Former Financial Services Compensation Scheme (FSCS) chief executive Mark Neale explained that FSCS made payments totalling nearly £20 billion to protect consumers. The cost to FSCS of Bradford & Bingley’s failure alone was £15.65 billion.