The Financial Services Compensation Scheme has declared 12 firms in default, including several Financial Planners and wealth managers.

The move opens the door to investors to claim compensation from the FSCS.

The firms were declared in default in December and January.

The list of firms includes Nottingham-based wealth manager Hamilton Rose Wealth Management.

The FSCS told Financial Planning Today last month that it had already received several claims against the firm, related to SIPPs or other types of investment claims.

Hamilton Rose was connected to DFM Clear Capital Management, also a Nottingham-based firm. Clear Capital was declared in default by the FSCS last autumn. It was founded eight years ago by Paraplanner Martin Vaughan and also traded as Clear Advice and Kalis Capital.

Several of the firms included in the list of defaults are failed financial adviser firms who arranged pension transfers for members of the British Steel Pension Scheme (BSPS).

The firms being declared in default by the FSCS with links to BSPS transfers are Channel One Financial Planning and Argent Wealth.

Argent Wealth also traded as Orchard Financial Planners and Morley James Asset Management.

In 2017, many British Steel workers were advised to transfer out of their defined benefit pension into a defined contribution pension, typically a Personal Pension Plan or a Self-Invested Personal Pension (SIPP).

It was one of three choices available to British Steel Pensions Scheme (BSPS) members. The others were the new scheme (BSPS2) and Pension Protection Fund (PPF).

The British Steel Pension Scheme was restructured in 2018. When British Steel decided to encourage workers to consider moving their pension a number of advice firms moved in but poor advice was widespread and the scandal attracted national media attention with a number of Financial Planners helping victims on a pro bono basis and leading MPs getting involved.

The full list of firms declared in default by the FSCS from 1 December to 31 January:

• All Flintshire Credit Union Ltd (FRN 213641), Estate House, 26 High Street, Flintshire, CH8 7LH.
• Argent Wealth Limited t/a Orchard Financial Planners, Morley James Asset Management (FRN 515379), Evolve Building, Cygnet Way, Houghton le Spring, DH45 5QY.
• Channel One Financial Planning LLP t/a Channel One Financial Services (FRN 542078), Unit C12, Ledston Luck Enterprise Park, Leeds, LS25 7BF.
• Financial Planning Solutions (UK) Limited (FRN 453409), Richmond House, 65 High Street, Thornbury, Bristol, BS35 2AP.
• Foresight Financial Services Limited t/a Foresight (FRN 479805), 30 Dysgwylfa Sketty, Swansea, SA2 9BG.
• FT Stockbrokers Limited (FRN 477850), Unit A1/E, Crabtree Road, Thorpe Industrial Estate, Egham, TW20 8RN.
• Hamilton Rose Wealth Management Limited t/a Athena Wealth t/a www.theisaexpert.co.uk (FRN 650305), Holly Farm, Clipstone Road, Mansfield, NG21 9JD.
• Midland Independent Financial Services Limited formerly The Mortgage Shop (1977) Limited T/A (FRN 304129), 153 Avon Road, Cannock, WS11 1LF.
• PWH Financial Planning Ltd t/a WGN Wealth Management (FRN 506351), Victoria House, 14a Bradford Road, Leeds, LS20 8NH.
• PWM Advisers Limited (FRN 466612), 5 Green Lane, Cardrona, Peebles, Scottish Borders, EH45 9LJ.
• South Coast Trade Centre Limited (FRN 452440), 10 East Street, Fareham Hants, PO16 0BN.
• The Energy Advisory Centre (UK) Limited (FRN 679388), 1st Floor, 24 Blythswood Square, Glasgow, G2 4BG.

Sarah Marin, chief customer officer at the FSCS, said: "FSCS's protection increases consumer confidence when buying financial products and services, and our compensation helps put customers back on track if firms should fail. We encourage customers to claim directly with FSCS via our website, which provides the easy-to-use service they expect. Help is on hand throughout the process, with claims experts available through web chat or over the phone."

Anyone with potential claims against any of the firms listed can visit https://claims.fscs.org.uk/. People can also contact FSCS’s Customer Services Team on 0800 678 1100 or 020 7741 4100, or by email at enquiries@fscs.org.uk.

The FSCS has helped more than 5m people since 2001.