HSBC misses interest swap redress target as banks' payouts hit £159m

Banks' redress payments to customers embroiled in the interest rate swap mis-selling scandal surged to £158.6m in December, putting most banks on track to reach their projected review goals.

Figures released by the Financial Conduct Authority (FCA) showed Barclays, Lloyds, and the Royal Bank of Scotland all surpassed their set targets for December, while HSBC lagged behind its projection by one percentage point. Banks were ordered by the regulator to conduct reviews into how interest rate hedging products were sold to retail clients after it detected failings in sales conducted after 2001. In total, 18,700 customers were asked to join the review last year, and 1,040 offers have been accepted, while 672 cases were ruled not eligible. RBS had the most cases to tackle at ...