Equitable Life Policyholders: Compensation

Debate between Kirsten Oswald and Stuart Blair Donaldson

Thursday 23rd March 2017 Commons Chamber

[Kirsten Oswald (East Renfrewshire) (SNP)]

I am pleased to be able to speak today and to keep up the pressure on behalf of constituents who have been hard hit and who deserve better. I thank the hon. Member for Harrow East (Bob Blackman) for initiating the debate and for his continued hard work on behalf of all those affected.

Like, I am sure, other Members, I remember the reassuring adverts that must have attracted many people at the time. They were warm, homespun and affirming, telling us that “It’s an Equitable Life,” which it clearly was not. If there were any equity or justice in life, we would not be here today on behalf of our constituents whose lives have been changed in such a damaging way. Although I understand the steps that have been taken so far, their confidence in both government and financial regulation has been shattered.

I think of constituents of mine, such as James Moore of Newton Mearns or Howard Lyle, who lives in Eaglesham. Howard is now 81, but he was a self-employed business man. He worked hard for his living and did all the right things to provide financial security. In fact, he ended up working until he was 72 years old. He felt that he had done everything possible to ensure that he had good financial plans in place and would not be dependent on the state in his retirement. But, of course, all his well-laid and well-paid-for plans are in tatters. Howard says:

“All I am looking for is a repayment of what I and hundreds of other pensioners are owed.”

Who could possibly argue with that? I have named only two constituents, but, like other Members, I know of many others who are similarly affected and have been similarly failed by what is clearly a toothless regulatory system, which has utterly let them down.

[Stuart Blair Donaldson (West Aberdeenshire and Kincardine) (SNP)]

My hon. Friend is making some great points. Given the hardships that some of our constituents have faced, given the injustice and, indeed, the age that some of them are reaching, will she join me in expressing admiration for their tenacity and their determination to keep the issue on the political agenda and to continue to fight this injustice?

[Kirsten Oswald]

My hon. Friend makes an excellent point. We should commend those people for all their continued work in keeping the issue at the forefront of our minds.

A cynical person might wonder whether—as with the collapse of the Connaught Income Fund, which was mentioned by my hon. and learned Friend the Member for Edinburgh South West (Joanna Cherry)—there is a strategy of dragging action out for an extraordinarily long time to ensure that fewer of those affected are still with us. It is simply not good enough for this sorry saga to continue for even longer. The UK Government must now finally deal fully with the outstanding injustices experienced by these unfortunate policyholders.

We really do need to grasp the nettle, and acknowledge the wrong that has been done and the impact that it has had on people’s lives. It is essential for action to be taken on behalf of the people who have lost out, but we also need to ensure that they can maintain confidence in our pension provision and in financial and regulatory bodies.