Lloyds rebuffed over PPI advert complaint

Warning-Sign-Yield-Slow-Stop-Danger-700x450.jpg

The advertising regulator has rebuffed a complaint by Lloyds Banking Group that an advert about protection insurance mis-selling was misleading.

Lloyds Banking Group is the firm with the highest bill for PPI mis-selling, at around £17bn.

In February Lloyds complained to the Advertising Standards Authority about a tweet from claims management company Assured Legal Services.

The tweet said: “£223.7 MILLION on compensation for PPI paid in ONE MONTH… still don’t want to check? Message us today! #ppi #compensation #financialfriend.”

The tweet included an image with text that said “£223.7m was paid in October 2016”.

Lloyds complained that the ad implied Assured Legal Services had won £223.7m in PPI compensation for their customers in October 2016, and that this was misleading.

In response, Thompson Legal, trading as Assured Legal Services, said the tweet was based on FCA data showing a total of £223.7m was paid out in UK PPI compensation in October 2016.

The ASA sided with Thompson legal over the dispute.

An ASA statement says: “The ASA considered that while most consumers would have some knowledge about PPI compensation and the scale of PPI mis-selling, it was unlikely that they would have a strong understanding of the amount of compensation paid out across the industry each month.”

The advert regulator also pointed out that the original tweet did not say where the £223.7m figure came from.

It added that consumers “would interpret the claim to mean that £223.7m was paid out across the financial services industry, because it was such a large amount to have been paid in a one-month period”.