Victims of £138m financial scandal deserve answers and regulators must step up

This is about structural failings within the regulatory system that have left ordinary people out of pocket through no fault of their own. The only way to avoid these mistakes being made is to identify said mistakes. That can only happen by way of a thorough investigation. Last year, SNP MP Peter Grant alleged the regulatory framework to protect vulnerable victims had “utterly failed”.

Some victims are also attempting to get the Financial Ombudsman Service to investigate complaints about building societies involved. Whichever regulator looks into this scandal must do a thorough job with the victims in mind, first and foremost.

The fact that loyal elderly customers were introduced to unregulated advisers by building societies, in their own branches, who sold them the family trusts on their properties and investment schemes for savings, means that they cannot wash their hands of responsibility.

It is disappointing that Leeds Building Society has also been caught up in this. Yorkshire’s reputation as a key financial services hub is underpinned by the strength of mutuals based here including LBS.

LBS saying that it would work with a police investigation if it was to be reopened is a positive step.That police investigation needs to be reopened and concluded as quickl y as possible.