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ANZ to compensate thousands of advice clients

ANZ will be reimbursing approximately 8,500 former clients of its Prime Access financial planning service, after it identified they have not received annual reviews.

A statement issued by the bank revealed clients of Prime Access did not receive the services paid for and that it has reported the issue to ASIC and has commenced a remediation process.

“ANZ estimates the cost of reimbursing around 8,500 clients who did not receive a documented annual review to be approximately $30 million. ANZ is working with ASIC to finalise the refund methodology and payments will commence as soon as the methodology is agreed,” said a statement from the bank.

ANZ global wealth CEO Joyce Phillips said ANZ “sincerely apologises to our clients for not delivering all of the Prime Access services we promised and we will reimburse affected clients as soon as possible”.

The news comes as ASIC issues an update on its probe into vertically integrated advice businesses.