Troubled card insurer CPP hires new CEO

He joined York-based CPP as interim deputy CEO in June and has 20 years experience in the insurance industry.

The company has also appointed Craig Parsons as chief financial officer, having held a senior role at CPP for 12 years.

Shares in CPP plummeted last week after City regulators unveiled a compensation package of up to £1.3bn, involving CPP together with 13 high street banks and credit card companies.

The companies agreed to offer compensation for mis-sold credit card and identity theft protection policies.

CPP suffered further shares pain after founder and majority shareholder Hamish Ogston gave a combative response to the action by the Financial Conduct Authority (FCA), describing the sum as “b******s” and a “ridiculous figure”.

But shares rose 12 per cent yesterday following the announcement to close at INSERT

In a statement, Mr Escott said: “Significant progress has been made over the past two years to refocus the business following the onset of the FCA’s investigation.

“During my first two months at CPP I have experienced a determined company that is working hard to put its historic issues behind it after a period of immense challenge.

“There remains much work to be done to reposition the business for the future and I look forward to leading CPP in the next phase of its development.”

His previous roles include managing director of the general insurance division at Capita and managing director of the UK division of Brit Insurance.

Mr Parsons, formerly director of tax and treasury at the company, added: “My 12 years with CPP mean that I know the business exceptionally well and have a comprehensive understanding of the issues we face.

“Significant financial challenges remain, but the recent refinancing represents a more stable platform for the business.”