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Time is Running Out to Claim Compensation for Your Business

IHRPs are a form of derivative that were widely sold to thousands of businesses of all sizes and sectors, by sales staff at banks who were highly incentivised to sell these products.

The main types of IRHP’s are swaps, caps and collars and they were sold alongside business loans as an ‘insurance product’ that protected against rising interest rates. IRHPs are highly complex financial products and, quite often, the banks did not make their clients fully aware of the terms of the product and the substantial exit/break costs involved.

In some cases, the product was made a condition of the loan or actually exceeded the duration of the loan. The products were often not suitable for small and medium sized businesses and are seen to have been widely mis-sold.

This is now one of the biggest financial mis-selling scandals uncovered to date. A review by the Financial Conduct Authority means the banks have been forced to set aside in excess of £3,000,000,000 to compensate businesses that have been mis-sold an IRHP. However it is believed that this number will increase ten-fold.

It is estimated that 100,000 businesses have been affected by this type of mis-selling. If you were sold a loan and IRHP after 2001 you could be entitled to bring a claim against the bank, regardless of whether or not you are still with the same bank who sold you the IRHP. The national average claim size is £500,000.

The FCA review is now well under way and the banks are currently reviewing some of their clients’ cases. It is not too late to make a claim, but time is of the essence.

Our expert team of lawyers here at TLW Solicitors will fully assess your claim for direct loss, indirect loss and consequential losses. We will deal with the bank in a robust fashion, ensuring you receive the maximum amount of compensation possible, leaving you to focus on your business.


For many UK businesses, being sold a complicated and expensive IRHP has been nothing short of a disaster. If you think you may have been mis-sold one of these products, seek expert advice from TLW Solicitors call 0800 169 5925 or email info@tlwsolicitors.co.uk. You can also make an enquiry using our contact form.