Compensation for Equitable Life victims is a triumph

10.00.00am BST (GMT +0100) Wed 26th May 2010

Sharon (left) with Equitable victim and EMAG activist

Lib Dem MEP Sharon Bowles has hailed the new Equitable Life Bill, announced in the Queen's Speech yesterday, as a triumph.

Equitable Life, the world's oldest mutual insurer, faced near-collapse in 2000 after making promises it could not afford to keep.

As a result, policyholders were subjected to large cuts to the value of either their prospective or current pensions.

According to the Equitable Members Action Group, 15 Equitable Life victims die each day in the UK, many in poverty.

The Equitable Life Bill will give the Treasury the authority to make payments to policyholders or dependents that were denied the right to compensation by the previous government.

Sharon Bowles said:

"I am delighted the coalition government has brought an end to the gross injustice suffered by Equitable victims.

"I campaigned for a long time on this issue and have heard many stories from people entering retirement with far less money than they were entitled to. Sadly, many have died in poverty.

"It is a scandal that it took so long to do what was right and will always be a stain on the previous government's record but today is a day for celebration. I hope all those entitled to compensation receive it post-haste."

ENDS