The Financial Services Authority (FSA) has told UK banks holding the money of investors in a Luxembourg life settlement fund not to allow the cash to be moved.

The Financial Services Compensation Scheme (FSCS) looks set to stump up $10m to allow a controlled liquidation of Lifemark after the other main contender for a rescue of the fund pulled out.

The chief executive officer of part-nationalised British lender Lloyds Banking Group, Antonio Horta-Osorio, is taking a leave of absence for health reasons, a source with knowledge of the matter said according to reports.

The redress deal struck by the FSA, Capita, HSBC and BNY Mellon will return Arch Cru investors just 10%-15% of their original capital, according to lawyers who have seen the offers.

Syed Kamall, member of the European Parliament for London, said he is "not impressed" with the European Commission's assessment of the impact of EU regulation on the UK.

Capita Financial Managers has today sent a further letter to investors who lost money in the Arch Cru fund range to set out their individual entitlements under a £54m payment scheme.

Thousands of Arch cru investors have written to their MPs today accusing Capita of intentionally violating the Financial Services Authority's treating customers fairly (TCF) charter.

Vince Cable, the business secretary, has been embarrassed after being fined £500 by HM Revenue and Customs for failing to pay VAT on his extra-curricular earnings.

The Financial Services Authority (FSA) has fined Credit Suisse £5.95m for systems and controls failings in relation to sales by its private bank of structured capital at risk products (SCARPs).

Bank of England governor Mervyn King has been asked by the Treasury Select Committee to explain his decision to inject a further £75m into the UK economy through quantitative easing (QE).