Are investments FSCS-protected?

No, investments through UOWN are not covered by the Financial Services Compensation Scheme (FSCS). This is important to understand:

What FSCS covers: The FSCS protects UK bank deposits up to £85,000 per institution and certain regulated investment products. It's essentially insurance if a bank or regulated firm fails.

Why UOWN isn't covered: Property crowdfunding investments are not deposits – they're equity investments in property developments. These carry investment risk, which is why they can offer higher returns than bank savings.

Direct investment model: You invest directly into project SPVs, not through a protected account or wrapper.

What this means for you: If a project loses money or fails, you cannot claim compensation from the FSCS. Your capital is at risk, and you could lose some or all of your investment.

Risk vs reward: The lack of FSCS protection is one reason why property investments can offer higher returns than protected bank deposits – you're being compensated for taking more risk.

Other protections exist: While not FSCS protected, your investments are protected by the SPV structure and asset backing (real property).

Only invest what you can afford to lose, and ensure you have FSCS-protected savings elsewhere for your emergency fund.