Half your money back for Farepak savers

Swindon-based Farepak collapsed in 2006, leaving 114,000 people with total losses totalling £37m.

Now liquidators BDO have confirmed that final payments will be made to those who lost out at the end of August.

Customers have waited for the end of court cases to see a final settlement.

Anne Snelgrove, MP for Swindon when the company collapsed, said: “I am delighted that at long last the Farepak savers will receive more of their money back.

“However, as it amounts in total to just under half of what they lost I will continue to work with Unfairpak and the other Farepak campaigners to see if we can find more funds for the Farepak savers.

“I also share the campaigners’ anger at the collapse of the trial last month and call on the Department for Trade to explain its actions, and to bring forward legislation to protect consumers in similar situations.

“In 2006 I said I wanted to achieve three things: a better Christmas in 2006 for the savers’ families than they were expecting after Farepak collapsed; their money back; and justice for the savers.

“Through the Farepak appeal, we did our best to give everyone a good Christmas and many companies in Swindon and throughout the country were generous with their gifts.

“I believe we are only halfway to achieving the last two points and therefore I will work tirelessly with the campaigners to achieve full justice for every Farepak saver.”

Farepak collapsed leaving no money available to creditors.

However, BDO has confirmed that a payment of about 32p in the pound will be made, which includes a share of the £8m from Lloyds Banking Group.

When added to the 17.5p in the pound given by the Farepak Response Fund charity, set up by the Government in 2006, customers will have received a total of about 50p in the pound, BDO said.

Former customers and agents who have changed their address since they made their original claim should inform the Farepak claims management team.