In November 2022 we confirmed that an announcement was expected from the Financial Services Compensation Scheme (FSCS) regarding Northern Provident Investments Ltd (“NPI”) and specifically, confirmation as to whether the FSCS could accept claims against NPI.
The FSCS was set up to protect customers of financial services firms that have failed and will pay claims against firms in certain circumstances where the firm is unable to so.
By way of reminder, NPI operated as a debt-based crowdfunding platform and were authorised by the FCA. They offered their customers the opportunity to buy illiquid debt securities and shares, often held in mini bonds. The company entered liquidation in August 2021 and was subsequently dissolved on 20 January 2024.
Here we provide an up-to-date appraisal of the position with NPI.
Investments which fall within FSCS remit
The FSCS are aware that some of the NPI investments have failed and are also aware of some instances in which customers paid money to NPI for investments which were not made.
The FSCS are working on a sample of claims currently and have already received a large volume of potential claims for consideration.
The FSCS has confirmed that it will consider claims from investors whose investments NPI facilitated as ISA manager and/or provided custodial services for. This includes (but is not limited to) the following investments:
- Blackmore Bond plc Series 5
- Blackmore Bond plc Series 6
- Albermarle Capital Ltd
- First Northbridge Ltd
- Fluid ISA Bond 1 Ltd
- Quinshaw Group Ltd
- Barbican Bond Co 1 Ltd
- Access Commercial Investors 4 plc
Investments which fall outside of the FSCS remit
The FSCS will not consider claims against NPI from investors in the following as it has determined that NPI was not involved with these particular bonds:
- Blackmore Bond plc Series 1
- Blackmore Bond plc Series 2
- Blackmore Bond plc Series 3
- Blackmore Bond plc Series 4
If you invested into one of the investments promoted by NPI and within the FSCS’s remit, at any time after July 2015, you may be eligible to bring an FSCS claim.
