Prudential Regulation Authority Rulebook

9.1

This Chapter applies only to the FSCS.

9.2

The FSCS must make available the compensation in respect of eligible deposits within the applicable time period and as soon as reasonably practicable after:

1. (1) it is satisfied that the conditions in 3.2 have been met; and
2. (2) it has calculated the amount of compensation due to the compensation recipient.

9.3

The applicable time period referred to in 9.2 is the period starting on the day following the compensation date and ending:

1. (1) until 31 December 2018: twenty business days later;
2. (2) from 1 January 2019 until 31 December 2020: fifteen business days later;
3. (3) from 1 January 2021 until 31 December 2023: ten business days later;
4. (4) from 1 January 2024: seven business days later;

unless 6.2(5) applies (or the FSCS reasonably believes that it may) or in the case of safeguarded funds, in which case it ends three months later.

[Note: Art. 8(1), (2) and (3) of the DGSD]

9.4

The FSCS may decide to defer the payment of compensation beyond the time period set out in 9.3 where:

1. (1) the compensation a person is or may be entitled to receive is uncertain;
2. (2) the deposit is subject to a legal dispute;
3. (3) the deposit is subject to restrictive measures imposed by national governments or international bodies;
4. (4) there has been no transaction on the account within the last 24 months;
5. (5) the amount to be repaid is deemed to be part of a temporary high balance, in which case 10.8 applies; or
6. (6) [deleted.]
7. (7) the depositor or the compensation recipient has been charged with an offence arising out of or in relation to money laundering.

[Note: Art. 8(5) and (8) of the DGSD]

9.5

The FSCS may decide not to pay compensation where there has been no transaction on the account in which the deposit is held within the 24 months prior to the compensation date and the amount of the deposit is lower than the administrative costs that would be incurred by the FSCS in paying compensation.

[Note: Art. 8(9) of the DGSD]

9.6