FCA Intervention Helps 79th Group Investor Claims Progress

UK Finance, the trade body for the UK banking industry, engaged with the financial industry on how best to proceed with claims against 79th Group. It was announced in August 2025 that the industry would “ringfence this case from usual processing due to its highly complex nature”.

As a result, investors have not been able to pursue claims against their banks under the UK’s current Mandatory Reimbursement Model for Authorised Push Payment (APP) fraud, causing understandable frustration.

This changed in October 2025, when the PSR and FCA stepped in, issuing clear guidance to banks on how they must progress claims.

The FCA and PSR wrote to banks in October 2025, issuing clear guidance on the future of 79th Group claims.

Key takeaways for investors:

• Banks cannot pause claims simply because the 79th Group is under investigation or because cases are complex. The FCA has been clear that decisions must keep moving.
• Each claim must be assessed individually. Banks are not allowed to treat all 79th Group claims as a single category or place them on hold pending wider outcomes.
• Police investigations do not justify delay. The existence of a City of London Police investigation is not a valid reason for banks to avoid reaching a decision.
• Regulatory time limits still apply. Where APP reimbursement rules apply, banks are expected to make reimbursement decisions within the required timeframes. Complaint handling rules also continue to apply in full.
• You have escalation rights. If a bank delays, rejects a claim without proper assessment, or fails to explain its decision, investors have the right to escalate complaints to the Financial Ombudsman Service, the government-backed scheme that deals with complaints between FCA-regulated financial institutions and their customers.
• Regulators are watching. The FCA and Payment Systems Regulator have confirmed they are actively supervising how banks handle these claims.

Many of the claims linked to the 79th Group fall within the definition of Authorised Push Payment fraud. This is where an individual is persuaded to transfer money using online or telephone banking, often after being given misleading or false information about the nature of an investment, the risks involved, or the urgency of acting quickly. Although the payment is authorised by the investor, the scam element lies in the deception and social engineering that led to the transfer.

Under the UK’s APP reimbursement framework, banks are required to consider whether customers were misled and whether reimbursement is due. The FCA has now made it clear that these assessments must be carried out properly and without delay, even where a wider criminal investigation is ongoing.

Sarah Spruce, Director at TLW Solicitors, said:

“Many of our clients have been left in limbo for months, with banks citing complexity or ongoing investigations as a reason not to make decisions. The FCA’s intervention is important because it confirms what investors have been saying all along. Claims must be assessed fairly, individually, and without unnecessary delay. We are already seeing movement on cases that had previously stalled, which is a positive and encouraging step.

If you have been affected by the 79th Group’s collapse, I would urge you to get in touch with my team to discuss next steps, even if your claim was previously rejected by your bank. If you or a loved one have lost out financially, contact TLW Solicitors for a confidential and no obligation discussion to explore your options.”

As the FCA and PSR highlighted, decision-making delays can be challenged, and investors have the right to escalate their claims to the Financial Ombudsman Service (FOS).

TLW Solicitors is already representing affected investors and has successfully secured compensation for several clients. We are also monitoring how banks respond to this regulatory pressure, and encouragingly, several banks are now engaging constructively.