Land of Leather fined for PPI sales

The Financial Services Authority's (FSA) £210,000 fine for Land of Leather will no doubt have delivered a timely warning to those sales executives in the retail and insurance sectors.

Almost 60,000 customers were put at risk of buying unsuitable payment protection insurance because sales jobs employees at the retailer's stores were not given the appropriate training.

FSA director of Enforcement, Margaret Cole, also took the opportunity to deliver a stern warning to the rest of the sales recruitment industry not to cut corners.

She said: "We are determined that firms should change their behaviour in selling payment protection insurance (PPI) and the fines against Land of Leather and Mr Briant show our determination in this area.

"Retail firms whose primary business is not selling general insurance will be held accountable to the same regulatory standards as the rest of the financial services industry."

Meanwhile law firm Clyde & Co has recently announced plans to take legal action against HSBC subsidiary HFC bank for customers mis-sold PPI.

The Land of Leather fine is the second such public example made of those in sales jobs mis-selling PPI following a similar £1.1 million fine imposed on HFC in January.


With consultants dedicated to Insurance Sales, Aaron Wallis have relationships with many of the major Insurance employers and recruit Insurance Brokers, Risk Managers and corporate sales professionals. For Insurance Sales Recruitment services visit: www.aaronwallis.co.uk

Filed: 13-05-2008