The Week Unzipped: Standard pays £2.45m for misleading investors

THE Financial Services Authority has fined Standard Life Assurance £2.45 million for misleading 98,000 customers about the risks of investing in its Pension Sterling Fund.

It found marketing material was unclear and did not correctly inform people about the risk of capital losses, specifically claiming funds were invested wholly in cash, while not highlighting up to 80 per cent was put into much riskier floating rate notes.

The fund dropped in value by 4.8 per cent last year with Standard having to pay in 102.7m to cover the loss.

Double joy in store

TESCO launched its first "Buy One, Get One Free – Later" deals aimed at cutting down on food waste. Over the next two weeks customers purchasing certain products, including pineapple, melon, salad and lettuce, can take their free item on the same day or pick up a voucher to claim it later.

Tesco announced the initiative after customers complained they were often unable to discard the freebie.

Britain throws out 12 billion of food and wine a year, according to advisory body WRAP. Sainsbury has introduced a similar scheme on nappies and baguettes.

Mortgage boost

GROSS mortgage lending was up 13.7 billion in December, according to the Council of Mortgage Lenders, as homebuyers rushed to beat the rise in stamp duty. The month saw a 14 per cent rise compared with November and was 3 per cent up on December 2008, the first monthly rise since October 2007. Lending totalled 39.1 billion in the three months from October, down 14 per cent on the same period in 2008.

Over the year as a whole lending reached 143.7 billion, just exceeding CML's annual forecast of 141 billion. This is the lowest annual total since 2000.

PO bargain offers

THE Post Office has cut introductory rates on its fixed and tracker mortgages by up to 0.5 per cent.

The range features a tracker at 3.49 per cent with a 20 per cent deposit. Fixed start at 3.69 per cent for two years with a 40 per cent deposit. Five-year fixes start at 5 per cent, also with a 40 per cent deposit. There is a 599 arrangement fee.

Loan deal ends

IT IS the last chance to take advantage of Sainsbury's 7.9 per cent personal loan which ends on Tuesday.

The rate is available to Sainsbury's shoppers with a Nectar card applying for loans between 7,500 and 15,000.