The FSCS revealed the new figures this morning and said in a statement: "The increase is primarily because of a rise in claims relating to self-invested personal pensions (Sipps).

"FSCS will levy firms in the life and pensions intermediation sector £100m in 2015/16 to fund the compensation costs for these claims."

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In January Mark Neale, chief executive of the FSCS, said: "As always, there is a significant measure of uncertainty about the nature and volume of claims, but it is already clear that the trend, which I highlighted last year, of growing claims arising from bad advice to switch pension savings into Sipps will continue.

"Many of these investors have suffered significant investment losses as a result of advice to invest in risky, non-standard assets such as overseas property developments."

There will be a decrease in the levy bill for investment intermediation firms – despite the fact the FSCS expects to pay compensation costs totalling £28m for Alpari (UK) Limited in 2015/16.

Officials said this was because of a reduction in the costs relating to other investment defaults, and an expected increase in recovery forecasts for the coming year including for Alpari.

The general insurance intermediation sector will not be receiving a levy bill in 2015/16 for PPI claims, which have continued to decline.

Mr Neale said: "FSCS protects consumers when financial firms fail. We're there for people who have nowhere else to turn. The annual levy allows us to compensate consumers, and as a result, make a valuable contribution to consumer confidence."

Since its inception in 2001 FSCS has paid out more than £26bn to more than 4.5m people.