Verified facts
The scheme is partially suspended. Lenders must continue preparing and progress complaints where possible, but do not have to calculate or pay scheme compensation until the legal process concludes. Judgment is expected in the following months. The FCA also says lenders should prepare for ordinary complaint handling if the scheme is quashed. Primary source: FCA statement.
Apolifina analysis
For investors assessing lenders, a hearing date narrows the timetable without resolving the eventual cost. Legal outcomes, complaint volumes and the treatment of existing provisions remain separate questions. A scheduled hearing is neither a finding against a lender nor evidence that a particular borrower will receive money.
Consumers should not treat potential compensation as cash available for saving or investing. For shareholders, the useful next disclosures will be explanations of provisioning assumptions and operational readiness, rather than speculation about a single final bill.
Primary sources and verification
Timing and qualifications rechecked against the FCA’s statement on 13 October 2026.
Continue reading: Household credit survey; ISA guide.