National Savings & Investments

Bobby Dean Excerpts

Thursday 26th March 2026 Commons Chamber

[Madam Deputy Speaker (Caroline Nokes)]

I call the Liberal Democrat spokesperson.

[Bobby Dean (Carshalton and Wallington) (LD)]

I thank the Minister for advance sight of his statement and for the action he has outlined that the Government are already undertaking. He will know that customers often choose National Savings & Investments because it is Government-backed, and because that provides them with extra reassurance that their savings will be safe. The news that the money of tens of thousands of people was essentially lost for a period of time will be a hammer blow to trust in that institution, and the fact that these cases involve bereaved families makes it particularly damaging.

To restore trust in the institution, it will be vital that justice is served comprehensively and swiftly. Will the Minister confirm the estimated timeline for identifying and contacting every family affected? Have the Government committed not only to reimbursing or returning the money that the families are due, but compensating them fully to reflect the distress that has been caused? He has already mentioned interest; will he confirm that all that interest will be returned? Will legal costs also be reimbursed? Some of the bereaved families resorted to legal action to get what they believed they were owed, and I am sure that they will feel that they are entitled to be reimbursed on that as well. Will the Government now carry out a full independent investigation to fully learn the lessons of what happened and ensure that there will be much stronger oversight of the system going forward?

[Torsten Bell]

I thank the hon. Member for his questions —let me try to do justice to them. He is completely right that one of the reasons customers choose NS&I is that they trust the institution, but they also know that it has that 100% Government backing. It is important that we are all clear with everybody that that remains in place, that no funds have been misplaced and that everybody will be entitled to every penny of their savings.

On rebuilding that trust, that is why I have put new leadership in place. Sir Jim’s review will lay out those lessons. He is an interim chief executive, and we will be recruiting for a permanent replacement, so he is in a position to give us the full truth about what he sees. He is an experienced public servant and public sector leader, so we should look to his review. As I say, I have asked him to report in three months’ time. I will ensure that the appropriate Select Committee Chairs have that review. It will set out the lessons that we need to learn.

The hon. Member rightly asks about compensation. As I set out in my statement, we will ensure that the appropriate compensation is paid along the lines of how the FCA encourages best practice. That will include compensatory interest where funds have been withheld from estates for longer than they should have been, and that will be done automatically. People who have more complicated cases will as always be able to go direct to NS&I to have them considered on a case-by-case basis.