Financial Services Compensation Scheme
Update to the FSCS Deposit Protection Limit
As of 1st December 2025, the Financial Services Compensation Scheme (FSCS) deposit protection limit has increased to £120,000 per eligible person. This applies to customers holding eligible deposits or savings with a UK-authorised bank, building society or credit union.
What does this mean for a Cumberland customer?
As a UK based building society, The Cumberland sits within the boundary of the scheme. Therefore, should the worst happen, and The Cumberland were to go out of business, the FSCS can compensate Cumberland customers with eligible deposits or savings up to the new limit of £120,000 (previously £85,000) per eligible person.
In the case of joint accounts, the new £120,000 limit applies to each eligible account holder.
On occasion, circumstances may mean that customers have the need for an unusually high account balance. Reasons for this could include a house sale, or inheritance. The FSCS will protect balances like these temporarily, for up to six months. The amount of protection for such a qualifying balance has also increased and is now £1.4million. For joint accounts with a temporary high balance, each named person would benefit from FSCS protection of up to £1.4m.
Further details of the scheme and the above change can be found on the FSCS website.