Carmichael – ‘Government continues to let down local Equitable Life policy holders’ (North Tayside Liberal Democrats)

North Tayside Liberal Democrats <info@libdems.org.uk>

Carmichael – ‘Government continues to let down local Equitable Life policy holders’

October 23, 2009 3:21 PM
Originally published by Scottish Liberal Democrats

Orkney and Shetland MP Alistair Carmichael has expressed his disappointment after a Liberal Democrat parliamentary motion that called on Ministers to provide compensation to Equitable Life policyholders was defeated by the Government.

The motion, which was defeated by just 25 votes, called for Ministers to act on the findings of the unprecedented second report from the Parliamentary Ombudsman into Equitable Life and establish a scheme to compensate those who lost money as a result of Government maladministration.

Commenting after the debate, Mr Carmichael said:

"It is extremely disappointing but unfortunately not surprising that the government has again chosen to neglect all those people who suffered as a result of the collapse of equitable life. More than a 100 Labour MPs had signed a motion expressing support for the measures proposed by the Liberal Democrats before they were debated, yet it seems they put party loyalties ahead of what they knew to be right when it really mattered.

"The Ombudsman's report earlier this year found clear evidence of regulatory failure by the government, it is only fair that they stop wasting time and get on and compensate the thousands of people who have suffered as a result of their maladministration."

Notes:

The full text of the Liberal Democrat parliamentary motion is as follows:

'That this House notes the Parliamentary Ombudsman has taken the unusual step of using powers under the 1967 Act to present Parliament with a further and final report on Equitable Life; also notes that the Public Administration Select Committee's Sixth Report, Justice denied? The Government's response to the Ombudsman's report on Equitable Life, concluded that the Government response to the Parliamentary Ombudsman's report was inadequate as a remedy for injustice; recognises the vital role the Ombudsman plays in public life; reaffirms the duty of Parliament to support the office of the Ombudsman; believes the Government should accept the recommendations of the Ombudsman on compensating policyholders who have suffered loss; notes the outcome of the Judicial Review announced on 15th October extending the period for compensation claims back to 1991; welcomes the formation of the All-Party Group on Justice for Equitable Life Policyholders; and notes with regret its necessary formation and the fact that over 30,000 people have already died waiting for a just resolution to this saga.'