London Capital & Finance investors relieved after court ruling opens route to compensation claims

The FCA has claimed that LCF's products were not regulated but investors disagree (Reuters)
The FCA has claimed that LCF’s products were not regulated but investors disagree (Reuters)

Investors who put their savings into collapsed mini-bond firm London Capital & Finance (LCF) expressed relief on Tuesday after a court ruling meant they may be entitled to compensation that regulators had denied them.

A judge ruled that a judicial review could go ahead into the Financial Services Compensation Scheme’s (FSCS) decision not to cover the losses of thousands of LCF investors. The judge rejected the FSCS’s request for the case to be dismissed.

Investors said they now saw “light at the end of the tunnel”