We’re all fed up of the ads promising thousands to anyone mis-sold payment protection insurance – but the amount being paid out by banks shows no sign of slowing down.
A total of £365.7m was paid in December 2015 to customers who complained about the way they were sold PPI, taking the amount paid since January 2011 to £22.5bn.
And PPI claims still account for more than half of the complaints made about banks.
Payment protection insurance made up 56% of complaints made to the Financial Ombudsman Service in the second half of 2015.
There were 92,667 new PPI complaints over the six-month period, compared to 94,091 in the first half of the year.
In total, the ombudsman took on 164,347 cases between July and December – a slight decrease of 6% on the previous period.
The number of complaints about financial products other than PPI – including packaged bank accounts, mortgages and pensions – dropped by 10% to 71,663.
On average, the ombudsman found in the consumer’s favour 53% of the time, with the uphold rates across 220 individual companies ranging between 5% and 97%.
Chief ombudsman Caroline Wayman said: “The financial services sector has been through a challenging and volatile period in the eight years since the ombudsman first began to publish data about individual financial businesses.
“Though it still makes sense to plan for uncertainty and change ahead, the signs are that complaints are now broadly levelling off as we move onto a more even keel in the coming year.”
She said complaints about PPI continue to make up more than half of the ombudsman’s workload.
“During 2015, PPI complaints finally began to approach stable levels – but we’re still seeing the volume of cases at a much higher level than many people expected.
“There are many factors that can influence the complaints we see, from fluctuations in the stock market to extreme weather conditions – and more people knowing their rights when things go wrong.
“That’s why I believe it’s important that we continue to find new ways to work so we can resolve complaints quickly, while sharing our knowledge so businesses can avoid the ‘big claims issues’ of the past.”
The figure paid out in December to customers complaining about PPI comes from 23 firms that make up 95% of complaints made about mis-selling.