Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what recent discussions he has had with the Financial Conduct Authority on the difficulties faced by clients and former clients of SVS Securities.
HM Treasury regularly engages with the Financial Conduct Authority on the circumstances surrounding SVS Securities PLC.
SVS Securities is a wealth management firm that was placed in Special Administration on 5 August 2019. An assessment of the client money and custody assets held by the firm has been completed and the Special Administrators have confirmed that these are intact. There are costs associated with distributing client money and custody assets back to clients which by law will be deduced from client money or custody assets.
The Financial Services Compensation Scheme (FSCS) will cover custody assets and client money shortfalls, including the costs associated with their distribution back to clients, for eligible clients up to £85,000.
The Special Administrators are working closely with the FSCS and expect the vast majority of clients will be compensated in full by the FSCS for these costs. As a result, the vast majority of clients shall receive their client money and custody assets in full.
Please note that the Special Administrators have now contacted SVS customers to invite them to submit any claims.
For further information on SVS Securities, please see the Financial Conduct Authority’s website: https://www.fca.org.uk/news/news-stories/svs-securities-plc-enters-administration.