FSA to probe Yorkshire Bank over selling to SMEs

Yorkshire Bank has confirmed it has had discussions with the regulator over the way it sold interest rate hedging products to SMEs.

In a statement, parent company Clydesdale said it will work with the Financial Services Authority to conduct a review.

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It added: “The conduct of the review does not mean that there has been any finding of mis-selling.

“While Clydesdale Bank is still reviewing the specific detail, it will apply the recommendations to any cases where it is appropriate to do so. “It is too early to determine what, if any, financial impact there will be as a result of the review.”

The announcement came after the Telegraph reported that Yorkshire and Clydesdale banks are set to join the compensation scheme set up for victims of mis-selling.