The independent valuer of Bradford & Bingley

Latest Update: 27 July 2012

In June 2009, I was appointed to assess the amount of compensation, if any, payable by HM Treasury under The Bradford & Bingley plc Compensation Scheme. On 5 July 2010, I issued my assessment that no compensation was payable in respect of shares and subscription rights. I also issued a similar notice in respect of rights associated with dated subordinated notes.

Former shareholders and other affected parties had the opportunity to request that I reconsider my determination by writing to me, stating their reasons for dissatisfaction and providing any evidence that they believed I should consider.

I considered the requests and evidence put forward to me and, on 14 March 2011, issued my Revised Assessment Notice, which upheld my original assessment that no compensation is payable by HM Treasury to shareholders or holders of subscription rights.

A number of former shareholders who were dissatisfied with the findings in my Revised Assessment Notice made applications to the Upper Tribunal (Tax and Chancery Chamber) to consider whether my determination was “reasonable”.

The Upper Tribunal concluded its review and, on 19 July 2012, Judge, Sir Stephen Oliver recorded that: “I am satisfied from my examination of the circumstances that the Valuer carried out his valuation function wholly in accordance with the Compensation Scheme”.

Sir Stephen did not grant permission to any of the former shareholders to appeal to the Court of Appeal so, subject to any rights that the former shareholders have to appeal, my role as independent valuer has now come to an end.

Since my appointment, I have met with many parties to gather perspectives and information relevant to my role and I have been contacted by a great many individuals and groups who have raised their issues and concerns. I would like to offer my sincere thanks to all those who have participated in this process and helped me in my task.