The Endowment Diary

The Endowment Diary


The Endowment Mis-selling Debacle - one of the UK's worst financial scandals

Saturday, January 31, 2004

A few statistics, provided by the FSA to the Treasury Select Committee investigating the Endowment Mortgage mis-selling scandal of the eighties, to depress you:

  • There are estimated to be 5.3 million people holding endowment polices, who face a shortfall

  • The average shortfall is expected to be £5500

  • The total value of the shortfall is expected to be £30BN

I fear that these are very optimistic estimates, to say the least; and suspect that the average shortfall will be in the region of between £10K-£20K.

On the this basis, we are likely to see a total shortfall of around £100BN.

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