Equitable Life victims to receive £1.5 billion compensation

The victims of the Equitable Life collapse are to receive £1.5 billion in compensation ten years after the insurer came close to insolvency - three times more than the amount recommended by a government report. Up to one million policyholders were affected by the collapse with many experiencing a significant cut in their pension and annuity pay outs. Figures revealed that the amount lost totalled almost £5 billion. However, a report led by Sir John Chadwick earlier this year suggested that the victims should receive between £400 million to £500 million in compensation leading to uproar amongst campaigners and social groups. Nevertheless the new compensation figure has still left many dissatisfied with the result.