Age UK has announced that it will pay back any money Help the Aged made through its partnership with the discredited Nursing Homes Fees Agency.

Nursing Homes Fees Agency (NHFA), a former HSBC subsidiary which is now closed, had advised customers with an average age of 83, to buy into five-year bonds to fund their care, even though many of them were likely to die before the investment term was up.

It was this week fined £10.5m from the Financial Services Authority for mis-selling products to around 3,000 old people in care.   

Help the Aged had received payment for referrals of customers to NHFA between 2003 and 2009. Age UK – formed from the recent merger of Help the Aged and Age Concern – has now announced it will pay this historic money back to deceived customers.

Gordon Morris, managing director of Age UK Enterprises, said: “Help the Aged had a relationship with the Nursing Home Fees Agency until 2009 but Help the Aged did not advise potential customers or have any input in investment decisions. The relationship was reviewed as part of the Age Concern and Help the Aged merger process and it was decided by the new charity, Age UK, to terminate this relationship.

“HSBC, as parent of NHFA, bears full liability for their losses, however we are offering to return any historic commission made by the charity Help the Aged on the product to those affected or their families.  We have set up a dedicated helpline for those whose product is linked to Help the Aged to call.”