The Foskett Panel


Sir David Foskett has been appointed to chair the independent Re-Review Panel (also known as the Foskett Panel) to reassess the direct and consequential (‘D & C’) losses suffered by victims of the fraud committed at the ‘HBOS Impaired Assets unit based at Reading and Bishopsgate (‘IAR’)’. Sir David is joined on the independent Panel by Philippa Hill and Andrew Hildebrand.

The work of the Panel arises from the conclusions of Sir Ross Cranston’s report, known as ‘The Cranston Review’, published in December 2019. The Cranston Review concluded that the way Lloyds Bank had dealt with D & C claims in its original Customer Review was unsatisfactory and did not achieve the purpose of delivering fair and reasonable offers of compensation. He recommended that the process of assessing direct and consequential losses should be carried out again, but this time in a fair and proper manner. In a second report, published in April 2020, he suggested how the reassessment exercise might be carried out.

The Panel's Scope and Methodology Statement can be found here, and we have published guidance notes entitled ‘IAR Fraud and the Causation of Loss’ and ‘Quantifying D & C losses’.

Update from the Panel – July 2023

Update on our work and progress to date

Re-Review Decisions Issued
Total since the start of the Re-Review (up to 6 July 2023) 189
7 March 2023 – 6 July 2023 41
6 December 2022 – 6 March 2023 27
5 October 2022 – 5 December 2022 52
3 August 2022 – 4 October 2022 50
Customers yet to receive a decision from the Panel 43

For the purposes of the table above, a ‘decision’ refers to a Victim Status Decision, ‘Minded-to’ Decision, or a Final Decision issued to a Customer.

In the period since our last update in March, we have issued a further 41 decisions to Customers. There are 43 Customers who are awaiting a decision and information gathering has begun in all remaining cases and Customers from whom further information is required are in contact with their Case Manager, either directly or via legal representatives.

As mentioned in the March update, our work remains ongoing in cases where Customers have received Victim Status Decisions and chosen to remain in the Re-Review. This work involves the assessment of a Customer’s financial losses, if any.

Case Management Process and Responses to ‘Minded-to’ Decisions

As we continue to issue decisions, the co-operation of Customers and their advisors remains integral to the overall progress of the Re-Review.

We are grateful to those Customers and/or their advisers who have provided timely responses to questions raised by Case Managers, but our overall progress would be quicker if responses from all Customers and their advisers were timely. Furthermore, when a challenge to a ‘Minded-to’ Decision is to be submitted by a Customer, in order to maintain and ensure our overall progress, we need the grounds of challenge and any supporting material within a reasonable timeframe as requested by our Case Managers. We will be reviewing the position in this regard over the next few months.

Tax on awards

In our last update, we confirmed that that all Customer awards are subject to UK taxation. The position in relation to a Fixed Sum Award (FSA) has been agreed with HMRC: the amount paid by LBG to an eligible Customer is calculated to include Capital Gains Tax at a rate of 20%, meaning the amount of the FSA that is paid including tax is £3,750,000 (assuming you are a UK taxpayer). This means that, as a UK taxpayer, if a Customer receives the FSA in the tax year ending on 5 April 2024, the Customer will be required to complete a self-assessment tax return and pay the £750,000 in UK tax that is due on the FSA by 31 January 2025.

We are continuing to engage with HMRC and LBG to finalise the guidance to Customers in relation to the tax treatment of Panel awards from the Re-Review.

The guidance with respect to tax and support available to Customers will be published on our website and shared directly with Customers as soon as possible.

Next update

It is our intention to issue the next update on progress in the Autumn.

If you have any questions about your case in the meantime, please email or contact your Case Manager.

Kind regards,

David Foskett
Philippa Hill
Andrew Hildebrand

Video Update from Sir David Foskett – April 2021

For the FAQ videos referenced in the above update, please click here.

If you have any questions or comments in the meantime, please contact