THOUSANDS of Oxfordshire victims who lost their life savings will get compensation 10 years after the near collapse of Equitable Life, it has been confirmed.

MPs have now passed the second reading of the Equitable Life (Payments) Bill, giving the Treasury the ability to give cash to victims from public funds.

However, policyholders are still in the dark about how much they will be paid with the Government expected to make an announcement after its October spending review.

Oxford West and Abingdon MP Nicola Blackwood continued the fight for victims in Parliament this week.

At a debate in the House of Commons on Tuesday, she called for a transparent process to compensate victims – including more than 3,000 who lost money from her constituency.

She said: “More than 30,000 policyholders have already died waiting for their Government to deliver them justice.

“For their dependants and the policyholders that remain, certainty and speed are imperative.

“I am happy to support the Bill this evening, as I believe that acting quickly to set up a compensation scheme for victims is of the utmost importance, but I am also aware that it does not address the elephant in the room: the final compensation amount.

“Equitable Life victims in Oxford West and Abingdon have fought a decade-long battle for justice, and many have died waiting for a government that will deliver them that justice.

“If we get this right, it will communicate clearly and effectively that this Government will act in the interests of those who do the right thing and save for the future.”

It has been reported the payouts will total £1bn, well short of the £4.7bn policyholders demanded.

The 200-year-old insurance firm collapsed in 2000, cutting policyholders’ annual incomes by up to 50 per cent.

By the start of the 1990s, the company was on the verge of insolvency, but continued to trade and advertise annuities and pension schemes to new customers.

The Government came under pressure tafter the Parliamentary Ombudsman found a “serious regulatory failure” of ministers.

Abingdon town councillor Timothy Oates lost his guaranteed retirement annuity, despite paying into the scheme for 22 years.

The 68-year-old former helicopter pilot sergeant said: “I’m pleased progress has been made after many years of being kicked into the long grass by the previous Government.

“It’s good news but what’s still to be decided is the amount of compensation.

“There’s rumours that we could get anything between 10 per cent of our policy back up to 100 per cent if our luck holds.

“I hope our luck holds and we’re fully compensated because this is a debt.”

Financial Secretary Mark Hoban said: “The Government wants to see justice for Equitable Life’s policyholders and that is clearly reflected in the actions we have taken since coming to office.

“We need a swift resolution, but, vitally, one that is transparent and fair.”