The Financial Services Compensation Scheme (FSCS) is the UK's statutory fund of last resort for customers of authorised financial services firms. This means that FSCS can pay compensation if a firm is unable, or likely to be unable, to pay claims against it. FSCS is an independent body, set up under the Financial Services and Markets Act 2000 (FSMA). This service is free to consumers.

Members of credit unions with savings are protected by the Financial Services Compensation Scheme. The FSCS is a safety net for customers of financial firms.

in the case of a credit union going out of business, the FSCS provides 100% protection for the first £2,000 of savings and 90% protection for the next £33,000. This is the same level of protection that customers of banks and building societies enjoy.

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