Millions of pounds will be paid out by Colchester-based Royal London after investigators found sales staff might have mis-sold products.

The Personal Investment Authority has fined Royal London £400,000 after a visit to the firm's offices, which included its Colchester headquarters, more than two years ago.

The insurance firm also faces paying out £15m to 65,000 customers. It means an average sum of about £250 will be given out.

For more on this story see www.business-in-essex.co.uk It comes after the insurance giant cut about 750 jobs in the town a year ago as part of its operational relocation to Cheshire.

Mike Yardley, the firm's chief executive, said: "We have accepted the PIA's findings. More importantly we have taken significant steps in recent years to tighten our sales process and improve our training.

"Where customers have been disadvantaged we will ensure that they are compensated as quickly as possible."

By Laurence Cawley

Reporter's e-mail: laurence_cawley@thisisessex.co.uk

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