Liddell: "Unacceptable delays" in compensation

Liddell discusses the naming and shaming of pension companies on BBC radio - Dur 1'49"

BBC correspondent Rob Broomby looks at the suffering caused by the mis-selling of pensions - Dur 3' 05"

Minister Names Pension Laggards

Treasury Economic Secretary Helen Liddell's intention was to "name and shame" firms who have failed to cooperate sufficiently with the review. Six weeks after she gave 28 firms a grilling for "simply unacceptable" delays in compensating victims, she disclosed today the progress that is being made.

In a Commons written answer, Mrs Liddell said most of the replies from the companies who responded to her request "suggest a willingness to deliver the targets for completion of case reviews set by regulators". But she went on: "While most of the policy statements sent to me showed a businesslike sense of purpose, I regret that there are two which appear to misunderstand the Government's determination that this matter must be resolved with dispatch. The Sedgwick Group is quite wrong to assert that the Government's initiative [of] May 14 was in any way under-researched."

Turning to Legal and General, she said she was not convinced by the objections of its board, "to well merited criticisms of the industry's performance so far".

Mrs Liddell continues: "When I met these firms on May 14 I made clear that, in the public interest, I would review progress each month and publish information monthly about the progress being made by each firm toward delivery of the regulator's targets. Some firms have already demonstrated that the pace of their review is quickening. I trust that this trend will accelerate over the months to come. But progress must not be made through shortcuts achieved to the detriment of investors' rights. Any attempt of this nature will quickly be picked up by the quality control process which the regulators will carry out at my request."

The Consumers' Association said any moves to get tough were welcome but added that even more hard-line measures might be necessary - such as stopping firms which drag their feet from taking any more pensions business until they have resolved all their cases.