A top Oxfordshire businessman threatened to stage a sit-in at the offices of the Financial Services Compensation Scheme, in London, in protest at delays in paying money due to him from the collapse of Icelandic bank Kaupthing Singer and Friedlander.

Christopher Quinton and his wife Carol had, he said, “a very substantial sum” in savings and a pension scheme after he sold his software business Halarose, near Wallingford.

When the bank went into administration in October the British Government stepped in to guarantee deposits, but Mr Quinton has not received a penny despite writing to the scheme’s chief executive.

He said he was now paying staff at his new business, Walllingford-based Quincom, out of his own pocket.

Mr Quinton, who lives in Woodcote, said: “Having paid my staff I have now run out of cash and I have had to ask for their Pay as You Earn and National Insurance contributions to be deferred.”

After lodging his protest at the FSCS Mr Quinton, a former president of the Thames Valley Chamber of Commerce, was met by head of customer services Peter Cooper. He assured him that his claim would be dealt with rapidly and that his wife’s money would arrive next week.

But Mr Quinton added: “If they don’t tell me exactly when my money is due I will protest at the offices again.”

FSCS spokesman Sarah McShane said processing claims had been slowed by problems with information the bank had supplied but that about 2,200 claims out of 6,800 had been dealt with.