Three advice firms have been declared in default by the Financial Services Compensation Scheme, paving the way for claims to be brought to the scheme.
According to the FSCS, the Spires Independent, Armstrong Campbell and Broadlands Partnership failed yesterday (November 1) after receiving a number of claims relating to pensions advice.
The lifeboat scheme has so far received eight claims against the firms, including two against both Armstrong Campbell and Spires Independent and four against Broadlands Partnership.
It is now yet known how much the FSCS is expecting to pay out on these claims.
A declaration of default happens when the FSCS is satisfied the firm cannot meet any eligible claims made against it.
According to the FCA register, Spires Independent, based in Birmingham, entered liquidation in August 2021 and stopped taking on new business.
Armstrong Campbell, based in Newcastle Upon Tyne, is no longer authorised according to the register and Cardiff-based Broadlands Partnership applied to cancel its authorisation in November 2020.
Last month (October 19) the lifeboat scheme said it had declared seven advice firms in default over August and September.
The FSCS had also declared seven advice firms in default in June and July, which at the time had caused 36 claims to be brought to the service.
Last year, the FSCS declared 45 firms in default, including 30 advice firms.
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