Pat McFadden responds to the independent review into the London Capital and Finance scandal
Pat McFadden MP, Labour’s Shadow Economic Secretary to the Treasury, responding to the independent review into the London Capital and Finance scandal, said:
“This scandal represents a shocking failure of supervision in which some people lost their whole life’s savings.
“The primary responsibility lies with those who ran London Capital and Finance and misled investors. But many people trusted this company because it was regulated by the FCA, even if individual products were not, and that trust was breached.
“It is only right that the Government has set up a compensation scheme. But this case raises broader questions about how the FCA regulates financial firms and the products they sell, especially when its responsibilities are about to expand significantly after Brexit.”