E7 - The Equitable Action Groups Combined

PRESS RELEASE

3 February 2004

Action groups call on Equitable to back campaign for Government compensation

The seven Equitable action groups, E7, have combined to call upon the Society's board to give its wholehearted support to calls for £3 billion pounds compensation from the Government.

"Equitable has the infrastructure, the expertise and the access to the evidence to coordinate a proper case for compensation" said Liz Kwantes of E7. "If the Treasury has set its face against compensation before the Penrose report is even published, leaving it to part-time volunteers, we run the risk of an unequal fight."

Ms Kwantes added that the Equitable action groups were concerned to read in the press that the Society had now decided to withdraw from its proposed plan of taking the regulators to court after Penrose, if it were found that they were at fault in the demise of Equitable Life.

The groups maintain that while the Government may be keen to save money in the short term by avoiding a bill for compensation, the long-term costs could be far greater if confidence in savings and pensions continues to collapse.

"There has been a spectacular drop in new investment in pensions. If the Government doesn't intervene to demonstrate that regulation actually means something, we will see a whole generation spending their retirement entirely funded by the Minimum Income Guarantee and nothing else. As a country we cannot afford to have everybody living on benefits." said Liz Kwantes

Issued by Liz Kwantes on behalf of E7.
For further information telephone 01628 525130. Email liz@equitablelifemembers.org.uk
3 Hillside Cottages, New Road, Cookham, Berkshire SL6 9HB
Other contacts: Paul Weir 01242 231896
Paul Braithwaite: 0207 267 5938