Commons Sense

House of Commons · Ministerial Statement

National Savings & Investments

26 March 2026 · 11 other contributors

Opened by Torsten Bell Lab Constituency

Benefits & WelfareStandards & Ethics

Summarised by AI from the official record, so it can contain mistakes.

Read the full transcript on Parliament.uk

At a glance

Torsten Bell raised concerns about national savings & investments in the House of Commons. A government minister responded. Other MPs also contributed.

Key points

  • NS&I reported an operational failure in tracing customer accounts for deceased individuals on December 18, 2025.
  • The failure resulted in up to 476 million in deposits not being identified and transferred to 37,500 customers.
  • NS&I reviewed over 34 million customer records, finding less than 0.2% of customers were affected by the issue.

How the debate unfolded

MPs spoke in turn to share their views and ask questions. Here's what each person said.

Government Statement

Torsten Bell

On December 18, 2025, National Savings & Investments (NS&I) reported an operational failure in tracing customer accounts for individuals who had passed away. This resulted in a failure to identify and transfer deposits worth up to £476 million belonging to around 37,500 customers, predominantly from the period 2008 to 2025. NS&I has reviewed over 34 million customer records with external support from EY and legal experts, confirming that less than 0.2% of NS&I’s customers were affected. The Government prioritises immediate action: ensuring no further errors occur, returning funds to beneficiaries, and reviewing operational practices. NS&I is hiring additional staff and developing a delivery plan for May to trace and return funds. Current NS&I customers can continue accessing their accounts as usual, with easier tracing services available on the NS&I website or My Lost Account site. The Government appointed David Goldstone to support NS&I’s business transformation programme and Sir Jim Harra as interim CEO to address management issues.

Other contributors (11)
  • Mark Garnier Con Wyre Forest

    Question

    Why did it take three months for the Government to respond after NS&I's initial notification? What actions have been taken between July and December? What provision has been made for compensation, who will pay for it, and are senior staff bonuses being recovered?

    Minister reply

    The minister responded that immediate action was taken upon receipt of the report in December. He stated that compensation details would be included in NS&I's May delivery plan, but did not specify whether bonuses to senior staff would be recovered.

  • Mark Garnier Con Wyre Forest

    Question

    Critiques the Government's delayed response, highlighting significant failings in communication and service for bereaved families. Questions the timeline of actions taken since July 2024, compensation provisions, recovery of bonuses during poor performance, and whether further issues remain undiscovered.

    Minister reply

    Acknowledges the need to provide reassurance to customers, confirms that NS&I's former chief executive has resigned without receiving a bonus last year. Emphasises that returning funds belongs to estates, not taxpayers. States previous Government was aware of significant problems since 2018 but did not act effectively.

  • Nick Smith Lab Blaenau Gwent

    Question

    Asks how the Minister will raise awareness that NS&I customers do not need to use claims management companies and can rely on NS&I putting things right.

    Minister reply

    Prioritises reuniting people with their money without incurring costs. Plans involve contacting representatives of estates directly.

  • Bobby Dean

    Question

    Queries the timeline for identifying and contacting affected families, full compensation including interest and legal costs, and a comprehensive independent investigation to ensure stronger oversight going forward.

    Minister reply

    Emphasises that funds are safe and will be returned. New leadership is in place; Sir Jim's review will outline lessons learned and set out appropriate compensation including compensatory interest automatically applied.

  • Callum Anderson SNP Glasgow North

    Question

    Many families are anxious about the news. Can he elaborate on how he will hold new executive and non-executive teams accountable to ensure no more system failures? How will he keep the House updated?

    Minister reply

    The minister acknowledged the anxiety felt by many people, especially regarding bereavement cases. He stated that NS&I will provide support for affected individuals. A delivery plan in May will outline timelines and lessons learned from the errors. Additionally, Sir Jim Harra will conduct a wider review of governance at NS&I.

  • John Glen Con Salisbury

    Question

    Welcoming actions to restore trust in NS&I and compensate affected individuals, the MP requested a review of mechanisms for officials to keep on top of issues at NS&I.

    Minister reply

    The minister asked for written attestations from NS&I and providers about future mistakes. He also mentioned the appointment of David Goldstone to support the transformation programme and ensure it is back on track.

  • Julie Minns SNP Caithness, Sutherland & Easter Ross

    Question

    The MP raised concerns about NS&I handling cases sensitively, especially during bereavement. She asked for assurances that all owed funds will be paid.

    Minister reply

    The minister assured constituents that all moneys due to estates would be paid and that efforts would be made to reconnect people with their funds. He also mentioned plans to address tax implications on a case-by-case basis.

  • Julian Lewis Con New Forest East

    Question

    The MP praised Sir Jim Harra's appointment and raised concerns about compensation for NS&I savers, particularly regarding speedy resolution of claims.

    Minister reply

    The minister explained that automatic compensation would be provided according to FCA guidelines. More complicated cases will be handled on a case-by-case basis. He also addressed inaccuracies in recent reporting by The Daily Telegraph.

  • Phil Brickell Con Bolton West

    Question

    The MP expressed concern about false reporting and asked for assurances regarding NS&I's ability to address issues effectively.

    Minister reply

    The minister assured the House of new leadership and external advisers' involvement. He also mentioned setting a direct method of communication for MPs raising constituency cases.

  • Laurence Turner Con Worcester

    Question

    The MP asked if the minister would look at individual cases raised by MPs and meet with groups affected by the issue.

    Minister reply

    The minister confirmed that he encourages MPs to support constituents in such matters. He mentioned NS&I's commitment to put in place a direct method of communication for MPs raising constituency cases.

Shadow Comment

Mark Garnier

The shadow minister criticises the scandal's impact on tens of thousands of people and its potential cost to taxpayers. He notes NS&I's failure to communicate effectively with bereaved families, delays in transfers, incorrect address issues, and excessive use of outsourced staff. The digital transformation has ballooned from £1.3 billion to £3 billion, with the Public Accounts Committee calling it a “full-spectrum disaster.” Garnier questions why it took three months for the Government to respond after NS&I's initial notification on December 18th, 2025. He inquires about compensation provisions and whether senior staff bonuses will be recovered, as well as confirming the chief executive’s status.

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